This EV Maker Returned More Than Tesla Over Past Year

Investors in Tesla Inc (TSLA) have seen strong returns on their investment in the past year. A $1,000 investment made a year ago is now valued at $1,327.55, representing a return of 32.75%. The company’s production of the Cybertruck and high car delivery numbers have contributed to the stock’s boost. However, another electric vehicle (EV) manufacturer, XPeng Inc (XPEV), has yielded even higher returns for investors. XPeng’s stock has delivered a return of 38.49% over the last twelve months. A $1,000 investment in XPeng stock a year ago would now be valued at $1,384.94.

XPeng stock has been strengthened by strong month-on-month delivery numbers, with the company experiencing consistent growth for 10 months. In addition, the launch of their first multi-purpose vehicle (MPV) model at the Guangzhou Auto Show has contributed to the stock’s rise. The new MPVs target wealthier Chinese households and offer the promise of higher margins.

During the reporting of Q3 delivery numbers (40,008 vehicles), XPeng’s Co-President, Hongdi Brian Gu, expressed optimism about gross margin improvements at XPeng due to new products and technology-driven cost controls. The company expects to deliver between 59,000 and 63,500 vehicles in Q4.

Although Tesla’s stock has seen significant market frenzy and enthusiasm, investors in the EV sector may want to keep an eye on XPeng stock as well. Other EV makers such as NIO Inc (NIO) and Lucid Group Inc (LCID) have experienced declines of 43.88% and 51.56% respectively over the same period.