XPeng Q2 Earnings: Will New EV Launch Trigger Turnaround?

Core Viewpoint - XPeng Inc is facing bearish signals ahead of the launch of its Mona M03 model, priced under RMB 200,000 (approximately US$28,000), with expectations of disappointing earnings in its upcoming report [1][2]. Group 1: Stock Performance - XPeng stock has declined over 50% year-to-date and approximately 18% in the past month, despite the anticipation surrounding the launch event and the company's 10th anniversary [2]. - The current share price of $7.14 is below both the 20-day and 50-day exponential moving averages (EMA), indicating a downward trend [2]. - The MACD indicator is at negative 0.36 and the RSI is at 41.99, suggesting the stock is nearing oversold conditions, although there is slight buying pressure as it trades just above its five-day EMA of $6.97 [2]. - The stock is trading well below the 200-day EMA of $9.62, indicating potential further downside despite the upcoming launch [2]. - Bollinger Bands show a range between $6.26 and $9.23, with the stock trading near the lower band, reinforcing the bearish outlook [2]. Group 2: Analyst Insights - Investors should monitor the Mona M03 launch for potential shifts in sentiment and the impact of XPeng's recent organizational changes [3]. - The consensus analyst rating for XPeng stock is currently Neutral, with a price target of $16.21, suggesting a potential upside of 26.23% [3]. - Recent analyst ratings from BofA Securities, Citigroup, and Macquarie indicate an average price target of $9, implying a 26.23% upside from the current trading price [3].