When Chinese EV makers posted increasing losses as production rose, shares sold off. Last week, the firms posted strong vehicle deliveries, which suggests spectacular sales growth.
NIO delivered 81% more vehicles in August 2023 Y/Y, at 19,329. In Q2, however, it posted vehicle sales of RMB7.19B, down by 22.1% sequentially. Average selling prices and delivery volume both fell for the quarter.
XPeng posted August deliveries of 13,690 smart EVs, up by 43% Y/Y. From Sept. 4 to 10, it will showcase its XPENG G9 and New P7 models.
In Q2, XPeng posted the biggest loss since going public. It lost 2.7 billion yuan, worse than the 2.1 billion consensus.
Hybrid vehicle maker Li Auto is the strongest among the three firms. Sales in August increased by 664% to 34,914 vehicles Y/Y. Li counted on the L7, L8, and L9 surpassing 10,000 in vehicle deliveries last month. Demand for Li L9, a full-size SUV, has been its top seller for the last 12 months.
Your Takeaway
LI stock did not pull back like NIO or XPEV. It has the strongest prospects. The latter two are high-risk speculations. They all need to keep posting stronger monthly deliveries to win back investors.
