Chinese EV Manufacturers' Stocks Surge, as Deliveries Increase in October

Image: XPeng Motors

Strong EV sales for October in China have demonstrated promising signs that consumer confidence is returning to the domestic market, and have bolstered the stock prices of China’s major electric vehicle manufacturers. As trading opened yesterday, the prices of Li Auto (makers of the hybrid range-extender Li Xiang One), NIO and XPeng rose sharply from Friday’s close according to The Motley Fool.

• Li Auto (NASDAQ:LI) was up approx. 13%

  3,692 units delivered in October

  21,852 units YTD

• NIO (NYSE:NIO) was up approx. 10.9%.

  5,055 units delivered in October (+100.1% YoY)

  31,430 units YTD (+111.4% YoY)

• XPeng (NYSE:XPEV) was up approx. 10.3%.

  3,040 units delivered in October (+229% YoY)

  17,117 units YTD (+64% YoY)

Nio exceeded 5,000 deliveries for the first time in October, and the company’s factory has a production capacity of 5,000 vehicles per month. This strong demand has seen Nio’s share price soar over 700% this year. For comparison, Tesla’s share price is up approx. 380% year-to-date.

While Tesla China’s sales for October have yet to be released, it’s expected that exports to Europe from the Chinese Gigafactory, the upcoming Model Y production ramp and news from Reuters that new energy vehicle sales will make up 20% of China’s market by 2025 will continue to boost Tesla’s share price after a late October dip.

Image: NIO