That could get very expensive for all parties involved | A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies |
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First was the massive surge in Xpeng shares that occurred in late 2020 | How much influence does Chinese government support have on investments like XPEV stock and more importantly, is it sustainable? While XPEV stock has performed well based on and improved gross profit margins, the lack of profitability is a concern |
Shift in Sentiment Fueled XPEV Stock Fast forward seven years and the narrative has changed dramatically with EVs | This is a crowded market and having a contested road to profitability may become increasingly problematic for both current and prospective investors |
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Manufacturing wise, the simpler construction of EVs — which require far fewer parts than building a combustion car — benefits XPEV stock and its ilk | Many years ago, before China started competing in earnest in the EV space, |
It produce environmental friendly vehicles, namely an SUV the G3 , and a four-door sports sedan the P7.
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Sure, but not a Dongfeng or a Geely |
It seems many investors are stepping on the brakes and reassessing the fundamentals.
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