XPeng (NYSE:XPEV) Shares Down 5.6% - Here's Why

XPeng Inc. (NYSE:XPEV) experienced a notable drop in its stock price, falling 5.6% during trading on Monday. The shares reached a low point of $20.07 before ending the day at $20.30. A total of 5,102,595 shares changed hands, which represents a significant 55% decline compared to the usual trading volume of 11,404,610 shares. This decline followed a previous closing price of $21.49.

Wall Street Analysts Share Insights

Several financial institutions have provided their perspectives regarding XPeng's stock. On February 24th, UBS Group upgraded XPeng from a "sell" to a "neutral" rating, increasing its price target from $8.80 to $18.00. However, not all analysts hold positive views. The Goldman Sachs Group downgraded XPeng from a "buy" to a "neutral" rating, putting a price target of $12.50 on the stock. Additionally, China Renaissance upgraded its rating from "hold" to "buy," setting a target of $16.70.

Furthermore, Macquarie maintained a "neutral" rating with an $18.00 price target, while Citigroup lowered its target from $14.60 to $13.70, also assigning a "neutral" rating. Overall, five analysts have rated the stock as a hold, four as buy, and one as strong buy, resulting in an average rating of "Moderate Buy" and a mean target price of $13.93 according to data available.

Current Stock Performance

XPeng's stock is currently trading below its 50-day moving average of $15.54 and its 200-day moving average of $12.70. The company holds a market capitalization of $20.40 billion with a price-to-earnings (P/E) ratio of -24.89, which indicates that the company may not be profitable at this time. Moreover, the stock has a beta of 2.68, signifying higher volatility compared to the overall market. Financial ratios suggest a debt-to-equity ratio of 0.22, a current ratio of 1.37, and a quick ratio of 1.18, painting a picture of its financial health.

Institutional Trading Activity

Recent trading activity among institutional investors indicates a change in holdings for XPeng. For instance, EverSource Wealth Advisors LLC increased its stake by 55.8%, owning 2,508 shares now valued at $30,000. Similarly, Avior Wealth Management LLC boosted its shares by an impressive 1,215.2%, now holding 2,775 shares worth $33,000. Lindbrook Capital LLC also raised its stake by 50.7%, acquiring an additional 1,138 shares to bring its total to 3,382, worth $40,000. Additionally, Natixis made a new investment valued at about $43,000.

Currently, institutional investors hold approximately 21.09% of XPeng's stock, reflecting notable interest from larger investment entities.

About XPeng Inc.

XPeng Inc. is a Chinese electric vehicle manufacturer focused on the design, development, production, and marketing of smart electric vehicles (EVs). The company offers a range of SUVs, including models like G3, G3i, and G9, as well as four-door sports sedans under the P7 and P7i names, and family sedans under the P5 model. Besides its automotive offerings, XPeng provides various services including sales contracts, supercharging, maintenance, and insurance, catering to a wide array of consumer needs.

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