Xpeng Inc. (NYSE: XPEV)

Sector: Consumer Cyclical Industry: Auto Manufacturers CIK: 0001810997
Market Cap 17.74 Bn
P/B 4.21
P/E -44.29
P/S 1.79
ROIC (Qtr) -47.86
Div Yield % 0.00
Rev 1y % (Qtr) 101.76
Total Debt (Qtr) 4.87 Bn
Debt/Equity (Qtr) 1.16

About

XPENG Inc., also known as XPEV, is a prominent player in the global automotive industry, specifically in the electric vehicle (EV) segment. The company's primary business activities encompass the design, manufacturing, and sale of smart EVs, along with the provision of related services. XPENG's operations span across the electric vehicle sector, where it competes with the likes of BYD, Geely, Great Wall Motor, Tesla, and Volkswagen, among others. At the heart of XPENG's business is the creation of smart electric vehicles, a category that includes...

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Price action

Investment thesis

Bull case

  • Strong tangible asset base of 12.76B provides 2.62x coverage of total debt 4.87B, indicating robust asset backing and low credit risk.
  • Tangible assets of 12.76B provide exceptional 30.55x coverage of deferred revenue 417.69M, showing strong service capability backing.
  • Robust tangible asset base of 12.76B provides 14.23x coverage of working capital 896.93M, indicating strong operational backing.
  • Long-term investments of 1.89B provide solid 1.17x coverage of long-term debt 1.61B, indicating strategic financial planning.
  • Short-term investments of 3.18B provide solid 1.80x coverage of other current liabilities 1.77B, indicating strong liquidity.

Bear case

  • Investment activities of 0 provide weak support for R&D spending of 1.21B, which is 0x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Operating cash flow of 0 provides insufficient coverage of deferred revenue obligations of 417.69M, which is 0x, raising concerns about future service delivery capabilities.
  • Operating cash flow of 0 provides minimal -0x coverage of tax expenses of (7.39M), suggesting potential tax planning inefficiencies or unsustainable tax positions.
  • Long-term investments of 1.89B represent a high 0.84x of fixed assets 2.26B, indicating potential overexposure to financial assets versus operational capabilities.
  • Retained earnings of (6.06B) provide limited buffer against comprehensive income items of 270.88M, which is -22.36x, indicating elevated exposure to market risks.

Peer comparison

Companies in the Auto Manufacturers
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 TSLA Tesla, Inc. 1,386.72 Bn 263.09 14.50 7.70 Bn
2 TM Toyota Motor Corp/ 286.80 Bn 9.26 0.87 287.20 Bn
3 GM General Motors Co 81.08 Bn 25.50 0.44 130.28 Bn
4 RACE Ferrari N.V. 59.53 Bn 31.60 7.15 3.38 Bn
5 F Ford Motor Co 55.12 Bn 17.49 0.30 161.94 Bn
6 HMC Honda Motor Co Ltd 42.13 Bn 9.65 0.29 88.09 Bn
7 STLA Stellantis N.V. 29.73 Bn -10.57 0.17 -
8 XPEV Xpeng Inc. 17.74 Bn -44.29 1.79 4.87 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets -0.09 1.20
EV to Cash from Ops. EV/CFO 4.58 5.88
EV to Debt EV to Debt -0.26 28.94
EV to EBIT EV/EBIT 3.58 11.38
EV to EBITDA EV/EBITDA 2.23 7.73
EV to Free Cash Flow [EV/FCF] EV/FCF 2.26 8.79
EV to Market Cap EV to Market Cap -0.07 304,683.06
EV to Revenue EV/Rev -0.13 16.98
Price to Book Value [P/B] P/B 4.21 3.04
Price to Earnings [P/E] P/E -44.29 9.04
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 0.59
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 6.04
Dividend per Basic Share Div per Share (Qtr) 0.00 0.36
FCF Dividend Payout Ratio % FCF Dividend Payout Ratio % 0.00 2.58
Interest Coverage Int. cover (Qtr) -6.31 8.74
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex Growth (1y) % 0.00 -59.34
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 65.48 62.23
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 1.34
EBIAT Growth (1y) % EBIAT 1y % (Qtr) 55.11 -1,057.18
EBITDA Growth (1y) % EBITDA Growth (1y) % 0.00 -19.82
EBIT Growth (1y) % EBIT 1y % (Qtr) 54.31 -1,011.94
EBT Growth (1y) % EBT 1y % (Qtr) 50.01 -216.80
EPS Growth (1y) % EPS 1y % (Qtr) 51.30 -59.11
FCF Growth (1y) % FCF Growth (1y) % 0.00 -21.21
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 178.40 -10.92
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.10 0.33
Cash Payout Ratio Cash Payout Ratio 0.00 0.03
Cash Ratio Cash Ratio (Qtr) 0.41 0.40
Current Ratio Curr Ratio (Qtr) 1.12 1.21
Debt to Equity Ratio Debt/Equity (Qtr) 1.16 0.99
Interest Cover Ratio Int Coverage (Qtr) -6.31 8.74
Times Interest Earned Times Interest Earned (Qtr) -6.31 8.74
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % 0.00 -2,589.89
EBIT Margin % EBIT Margin % (Qtr) -25.30 -104,371.67
EBT Margin % EBT Margin % (Qtr) -4.12 -3,156.67
Gross Margin % Gross Margin % (Qtr) 17.10 -649.09
Net Profit Margin % Net Margin % (Qtr) -4.00 -3,158.82