Morgan Stanley reiterated their Overweight rating and $12.50 price target on XPeng Inc. (NYSE:XPEV) following the Cheche technology and Shanghai insurance exchange summit held in China this month. The summit focused on new energy vehicles and included companies like XPeng, NIO (HK:9866) and AVATR.
During the event, XPeng's management declared that G6 demo cars are set to reach every store in China by the following week. Furthermore, they revealed that pricing details and deliveries are planned for the end of June. XPeng is determined to adopt an aggressive pricing strategy, surpassing even the offerings of local brands. They aim to provide superior specifications, advanced autonomous driving features, and a more spacious cabin, all at an equivalent price point.
In addition to the G6, XPeng will launch 3 other new products in 2H23 to bring monthly sales to its target of 20k by 4Q. The additional models include a 7-seat X9, alongside a less expensive G9 with revamped specs. The automaker will also feature a cheaper P7i with LFP batteries allowing ofr around 500km of range.
Shares of XPEV are down 2.01% in mid-day trading on Wednesday.