Bernstein Upgrades XPeng’s PT to $19

Bernstein analyst Eunice Lee upgraded on May 22, 2025, XPeng’s price target to $19 (from $18). The analyst maintained a ‘Market Perform’ rating.

“Q1 good print. XPeng reported Q1 revenue of RMB 15.8bn, +141.5% YoY and -1.8% QoQ.

The robust momentum of MONA M03 (starting at RMB 120k) and P7+ (RMB 187k) has bolstered strong volume growth (94k units delivered, +330.8% YoY, +2.7% QoQ) in Q1.

ASP continued to decline to RMB 153k (-39.8% YoY, -4.7% QoQ), however, on weaker product mix due to M03.

Gross margin reached 15.6% (vs. 12.9% in Q1 24 and 14.4% in Q4 24), of which vehicle margin edged up to 10.5% (vs. 5.5% in Q1 24 and 10.0% in Q4 24) on cost reduction initiatives and improved scale.

R&D expenses were RMB 2.0bn, or 12.5% of revenue, vs. 20.6% in Q1 24 and 12.5% in Q4 24.

SG&A expenses as % of revenue saw marked improvement to 12.3% of revenue, or 1.9bn, comparing to 21.2% in Q1 24 and 14.1% in Q4 24, with store count flat at 690 vs. a quarter ago.”

This research note is reproduced verbatim from the issuing firm. Price Target never edits, paraphrases or alters analysts’ words — we only republish them in one place.