Xpeng Stock: A Crucial Earnings Event Ahead

Xpeng (XPEV) shares are experiencing a moderate decline in the lead-up to the company’s fiscal second-quarter earnings, which are scheduled for release before the market opens on August 24. The anticipation surrounding this earnings event is palpable, as investors eagerly await the announcement of Xpeng’s revenue and loss per share figures.

The consensus among analysts is that Xpeng will report $2.83 billion in revenue, representing a 12.3% year-over-year increase. In addition, the company is expected to incur a loss of $0.06 per share, which would be a 45% contraction from last year’s figures.

This earnings event arrives at a time when Xpeng stock is experiencing a significant decline in investor interest, with the company’s shares down approximately 45% from the start of the year. As the market awaits the release of Xpeng’s earnings figures, investors are advised to exercise caution in their approach to the stock.

Options Pricing: A Bullish Outlook for Xpeng Stock

Despite the decline in investor interest, the derivatives market appears to be optimistic about Xpeng’s upcoming quarterly print. The put-to-call ratio on options contracts expiring August 28 currently sits at 0.8x, signaling a bearish skew. However, Barchart’s data reveals that options traders are betting on a rally in XPEV shares to $12.89 on the back of Q2 earnings, which would translate to a nearly 8% potential upside from current levels.

It’s worth noting that Barchart itself disagrees with the options market optimism, as evidenced in its ‘100% SELL’ opinion on the EV stock based on 13 distinct technical indicators. This divergence between the options market and Barchart’s technical analysis serves as a reminder of the complexities and uncertainties inherent in the world of stock trading.

Xpeng Deliveries: A Key Indicator of the Company’s Growth Potential

Investors are advised to exercise caution when evaluating Xpeng’s stock price, as it is currently more expensive to own than its peers, Nio (NIO) and Li Auto (LI). As of this writing, Xpeng’s price-to-sales (P/S) multiple sits at 1.02x, compared to less than 1x for both Nio and Li Auto.

However, Xpeng is experiencing significant growth in deliveries, with Q2 deliveries coming in up 65% sequentially. This impressive growth rate is a testament to the company’s ability to adapt and innovate in an increasingly competitive market.

In comparison, NIO saw a 29% quarter-over-quarter increase in the second financial quarter, while Li Auto remained capped at just 3.3%. Additionally, Xpeng has historically closed September with a nearly 3% gain on average, a seasonal pattern that further improves the EV stock’s near-term appeal.

Wall Street’s Take on Xpeng Stock

Note that Wall Street analysts also believe XPEV stock is worth owning for the remainder of 2026. The consensus rating on Xpeng sits at ‘Moderate Buy,’ with the mean price objective of $21.59 indicating potential for a nearly 100% rally in the coming months.

On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes.