The underlying shift towards electric vehicles is continuing despite a recent slowdown in the pace of growth. Last week, another Chinese electric vehicle maker Zeekr, owned by Geely, was listed on the New York Stock Exchange. However, the top EV leaders remain Tesla and BYD for the moment. Let's dip further into their chart review.
TESLA
Last month, Musk announced Tesla's first round of mass layoffs for the year, telling staff in a memo that he was laying off more than 10% of employees. Tesla employed more than 140,000 people before the layoffs. The widespread job cuts came as the company grappled with poor sales and increased competition from Chinese automakers such as BYD.
Tesla daily chart
For Tesla, the share price pullbacked for over 2 weeks after being rejected somewhere nearby EMA200 trend line resistance. Last night, Tesla stood back onto the EMA50 trend line, which is a premier indicator of a potential rebound. Moreover, all EMA lines are well aligned and stay very close to each other. I believe, with high possibility, EMA25 (red line) will golden cross over EMA50 (blue line) next week, forming a bullish uptrend for short term $Tesla Motors(TSLA)$
BYD
Last week, BYD officially launched its new Sea Lion 07, a mid-size smart electric SUV poised to rival Tesla's top-selling Model Y. Starting at 189,800 yuan, the BYD Sea Lion 07 is the first EV based on its new e-Platform 3.0 Evo. BYD sold 313,245 new energy vehicles in April, up 48.96% from 210,295 in the same month last year and up 3.57% from 302,459 in March.
BYD daily chart
For BYD, the chart is well setup! After being rejected 3 times by the EMA200, the share price managed to break through this ultra strong resistance and hold pretty well there. Last night, we had EMA25 golden crossed over EMA200 as well, which signified a firm trend reversal in BYD share price. Moving forward, I strongly believe BYD will be on bullish $BYD COMPANY(01211)$
XIAOMI
Xiaomi has become the country's eighth-largest electric vehicle upstart after selling more than 7,000 units of its first model, the SU7 sedan, in April. Xiaomi's strong entry into China's crowded EV market is set to further upend the world's largest auto market, where companies have been locked in a fierce price war amid weakening demand.
Xiaomi daily chart
If you compare Xiaomi's chart with Tesla and BYD, Xiaomi wins largely! After being undervalued and oversold for over 3 years, Xiaomi rebounded strongly since February this year. The share price stays above its EMA10 trend line, for over 3 weeks, which is an extremely bullish sign for the stock. For short term, I remain my bullish view on $XIAOMI-W(01810)$
Which EV leaders do you like and admire the most? For me, Tesla is my all time favourite. Guys, come and join the discussion ya.
@MillionaireTiger @CaptainTiger @TigerStars @Tiger_comments @Daily_Discussion @TigerGPT
Comments
Here is an analysis of the top EV leaders: Tesla, BYD, and Xiaomi.
Tesla Motors (TSLA):
Business Overview: Tesla is a leading electric vehicle manufacturer and clean energy company. It has a diverse product lineup, including electric cars, energy storage solutions, and solar energy products.
Earnings Analysis: Tesla's latest earnings report showed a positive EPS of $0.37. The company has a strong gross profit margin of 17.35% and a return on equity of 7.38%. The forecasted EPS for 2024 is $2.53.
Trend Analysis: Tesla's stock price is currently at $177.46 (USD). The support price is $170.4 (USD), and the resistance price is $198.5 (USD). The stock has been trading within this range recently.
Valuation Analysis: Analysts have provided a target price range for Tesla, with a mean estimate of $178.973. The analyst recommendation for the stock is mixed, with 7 recommending, 13 buying, 21 holding, 6 underperforming, and 4 selling.
BYD Company (BYD):
Business Overview: BYD is a Chinese electric vehicle manufacturer and one of the largest producers of rechargeable batteries. The company also has interests in other industries, such as renewable energy and rail transit.
Earnings Analysis: BYD's latest earnings report showed a positive EPS of $0.19. The company has a gross profit margin of 21.32% and a return on equity of 11.68%. The forecasted EPS for 2024 is $0.65.
Trend Analysis: BYD's stock price is currently at $55.01 (USD). The support price is $53.28 (USD), and the resistance price is $55.08 (USD). The stock has been trading within this range recently.
Valuation Analysis: Analysts have provided a target price range for BYD, with a mean estimate of $70.58333. The analyst recommendation for the stock is mixed, with 1 recommending, 4 buying, and 10 holding.
Xiaomi Corporation (01810):
Business Overview: Xiaomi is a Chinese technology company that manufactures smartphones, smart home devices, and other consumer electronics. It has recently entered the electric vehicle market with its SU7 sedan.
Earnings Analysis: Xiaomi's latest earnings report showed a positive EPS of $0.37. The company has a gross profit margin of 61.45% and a return on equity of 31.20%. The forecasted EPS for 2024 is $6.10.
Trend Analysis: Xiaomi's stock price is currently at $19.94 (HKD). The stock has been on a strong rebound since February and is trading above its EMA10 trend line, indicating a bullish trend.
Valuation Analysis: Analysts have provided a target price range for Xiaomi, with a mean estimate of $21.47218. The analyst recommendation for the stock is mixed, with 10 recommending, 15 buying, 5 holding, and 1 underperforming.
Please note that the above analysis is for informational purposes only and should not be considered as investment advice. It is important to conduct thorough research and analysis before making any investment decisions.