To The Moon

Yesterday, most new energy vehicle companies released their February sales.

First of all, for the record, as February 1-February 6, 2022 is the Spring Festival holiday, while January 21-January 27, 2023 is the Spring Festival. Therefore, the high year-over-year sales growth in February has a holiday impact and it is best to aggregate the January-February revenue.

1. $NIO Inc.(NIO)$

Nio sold 12,157 units in February, with total sales growth of 30.9% YoY in Jan-Feb. According to Nio's Q4 earnings guidance, 1Q23 sales are between 31,000-33,000 units, with a YoY growth rate of 20.3%-28.1%.

Nio achieved monthly sales of over 10,000 units in September 2021. However,after 2 years, Nio's monthly sales have never been able to break through, even with the launch of several models including ET5 in 2022.

2. $Li Auto(LI)$

On the contrary, Li Auto sold 16,620 units in February this year, with a combined growth rate of 53.6% from January to February.

Li Auto is the first of the new energy car makers to achieve 20,000 units of monthly sales. According to Li Auto's media, it will soon achieve a monthly sales of over 30,000 units.

Li Auto is not only a leader in sales, its gross margin is also the closest to $Tesla Motors(TSLA)$. And it achieved a net income of 265 million in the fourth quarter of last year, far better than Nio's loss of 5.79 billion.

If there are already players lagging behind, Li Auto is likely to be one of the ones that can win at the end.

3. $XPeng Inc.(XPEV)$

XPeng sold 6,010 units in February, with a combined growth rate of 41% decline from January to February.

XPeng is one of the first car companies to fall among the NEV car markers. G9 model, which was given high hopes, failed to save the company.

There is no hope for the older models, so we can only hope that XPeng will launch a pop-up model after the company's reform to reverse its defeat. Otherwise, the day of business closure is just around the corner.

4. $BYD COMPANY(01211)$

Finally, $BYD COMPANY(01211)$ sold 193,655 units in February, up 90% year-on-year from January to February. This figure is excellent.

Conclusion

Li Auto is likely to be the one that survive the NEV competition at the end. All in all, the final play of this competition has begun. Investors may need to wait and see the outcome of the cruel game.