Why XPeng Shares Are Falling
Portfolio Pulse from Henry Khederian
XPeng Inc - ADR (NYSE:XPEV) shares dropped by 13.7% after UBS downgraded the stock from Buy to Neutral. This follows a 57% rally last week when XPeng announced a strategic partnership with the Volkswagen Group. Volkswagen will purchase 4.99% of XPENG's outstanding shares at $15 per share, totaling approximately $700 million. The two companies will jointly develop two B-class battery electric vehicles for sale in China under the Volkswagen brand.
July 31, 2023 | 3:00 pm
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XPeng's stock price fell by 13.7% following a downgrade from UBS. This comes after a significant rally due to a partnership announcement with Volkswagen.
The downgrade by UBS has led to a significant drop in XPeng's stock price. This is despite the recent rally caused by the announcement of a strategic partnership with Volkswagen. The downgrade suggests that UBS believes the stock is currently overvalued, leading to a sell-off by investors.
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IMPORTANCE 80
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