$XPeng Inc.(XPEV)$ and $NIO Inc.(NIO)$ received shots in their arms after posting upbeat August vehicle delivery numbers last Friday, lifting the stock prices of the Chinese electric vehicle duo, while their local peer $Li Auto(LI)$ has risen in chorus as well.
The EV industry has heaved a deep sign of relief that EV buyers have not held back their purchases despite concerns over lagging recovery of the Chinese economy and consumer demands.
Hopefully, there will be spillover effects on the global EV market, benefiting the likes of $Faraday Future Intelligent Electric Inc.(FFIE)$ and $Rivian Automotive, Inc.(RIVN)$ Bullish, whose prospects have lately been dampened by a looming recession, although the long-term global transition to EV remains intact with growing global awareness of climate change and increasing tightening of emissions standards.
With latest US inflation data continuing to show cooling prices and signs of some easing of tight labor market emerge as unemployment rises, hopes are rising that the Fed will pause its rate hike.
Rising interest rates have increased the borrowing costs of EV startups and their valuations. Hence, hopefully a pause in rate hikes will return market optimism on EV stocks.
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Comments
The future is now RIVN will be the global ev leader so fortunate to have the foresight and opportunity to be a part of it and not be shorting this monster. Congrats longs. This stock will be over $200 in the next 5-7 years maybe sooner.
There is a serious lag between what NIO is doing, and what the stock price is. NIO was around $10-$11 a share when they were delivering around 10,000 a month. Now that they are delivering around 20,000 a month, don’t you think that they should be selling around $20 a share??
Team LI, let’s get LI going by spreading the word. This baby is profitable and spitting out 30k cars monthly…let’s all make money. It’s about time…markets has been in a downward spiral for the past two years …
Rivian is disconnected from the Nasdaq; when the trend is up, the trend is up! It does not matter if the Nasdaq is red, Rivian will continue to push up. Will see 28 again before Q3 production numbers.
NIO, needs to move to “zero financing” on their EVs, this WILL drive sales way up, even if it is only for 3 months! It is all about market share in the premium sector now! This how you can dominate! Especially now in China, BTW, currently the rate now in China is 2.5%