Xiaomi's Tesla Killer Budget EV Sparks Nearly 15% Rally After Launch, Heats Up Nio, Xpeng Rivalry
Portfolio Pulse from Benzinga Neuro
Xiaomi Corp's shares surged nearly 15% following the launch of its first EV, the SU7, priced $4,000 lower than Tesla's Model 3. The SU7 received 88,898 pre-orders within 24 hours, indicating strong market demand. Other Chinese EV makers like Xpeng and Nio have responded with price cuts, amidst a slowdown in China's new energy vehicle market growth. Xiaomi aims to attract 20 million premium users in China with the SU7, having received 120,000 orders within 36 hours of launch.
April 02, 2024 | 3:17 am
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POSITIVE IMPACT
Xiaomi Corp's stock surged nearly 15% after launching its first EV, the SU7, indicating strong market demand and competitive positioning against Tesla.
The significant stock price surge reflects investor optimism about Xiaomi's entry into the EV market and its potential to capture a substantial market share with the competitively priced SU7.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100
NEGATIVE IMPACT
Tesla Inc may face increased competition from Xiaomi's SU7, which is priced $4,000 lower than the Model 3 and has received a strong market response.
Tesla could experience pressure on its market share and possibly its stock price in the short term due to Xiaomi's competitive pricing and the strong initial market response to the SU7.
CONFIDENCE 85
IMPORTANCE 75
RELEVANCE 80