Xpeng (XPEV) shares are inching lower ahead of the electric vehicle (EV) maker’s fiscal second-quarter earnings scheduled to be released before the market opens on Aug. 24. Consensus is for the Chinese firm to record $2.83 billion in revenue — up 12.3% year-over-year — on a loss of $0.06 per share, which would represent a 45% contraction from last year.
The earnings event arrives at a time when Xpeng stock is starved of investor interest, currently down about 45% versus the start of this year.
Options Pricing Is Bullish for Xpeng Stock
Despite its massive year-to-date performance, the derivatives market believes Xpeng’s upcoming quarterly print will prove a near-term tailwind for its share price.
The put-to-call ratio on options contracts expiring Aug. 28 sits at 0.8x as of this writing, signaling a bearish skew.
Barchart’s data also shows that options traders are betting on a rally in XPEV shares to $12.89 on the back of Q2 earnings, which translates to a nearly 8% potential upside from current levels.
That said, 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.
Xpeng Deliveries Are Rising Sharply
Investors are advised to exercise caution in playing Xpeng shares at current levels as they’re currently more expensive to own than peers Nio (NIO) and Li Auto (LI). As of this writing, the firm’s price-to-sales (P/S) multiple sits at 1.02x versus less than 1x for both Nio and Li Auto.
On the flip side, however, XPEV is seeing massive growth in deliveries; its Q2 deliveries came in up 65% sequentially. 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.
How Wall Street Recommends Playing XPEV Shares
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. For more information please view the Barchart Disclosure Policy here.
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