12:00 PM EDT, 03/20/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We keep our 12-month target price of USD8, which implies a 2024 consensus P/B of 2.3x. XPeng ( XPEV ) posted a 2023 loss per share (LPS) of CNY11.92, widening from an LPS of CNY10.67 in 2022. We expect XPeng's ( XPEV ) revenue momentum to sustain, driven by rising demand for electric vehicles (EVs). However, as EV penetration accelerates, we think competition will rise aggressively given that more traditional brands are rapidly rolling out their respective EV models; we also see threats from well-established Chinese EV brands. We expect relatively small players like XPeng ( XPEV ) to face difficulties in organically expanding market share. This becomes further challenging as industry peers cut prices to boost sales volume. Hence, we are cautious about XPeng's ( XPEV ) liquidity, given the substantial investments in R&D. We revise our opinion to Sell, as we see net losses narrowing year-over-year in 2024. We trim our 2024 estimate to an LPS of CNY7.96 (from an LPS of CNY7.50) and initiate our 2025 LPS at CNY5.25.