Here's What Analysts Are Forecasting For XPeng Inc. (NYSE:XPEV) After Its Second-Quarter Results

XPeng Inc. (NYSE:XPEV) came out with its quarterly results last week, and we wanted to see how the business is performing and what industry forecasters think of the company following this report. Revenues of CN¥18b arrived in line with expectations, although statutory losses per share were CN¥0.50, an impressive 44% smaller than what broker models predicted. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. With this in mind, we've gathered the latest statutory forecasts to see what the analysts are expecting for next year.

Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit.

Following the latest results, XPeng's 37 analysts are now forecasting revenues of CN¥79.4b in 2025. This would be a substantial 32% improvement in revenue compared to the last 12 months. The loss per share is expected to greatly reduce in the near future, narrowing 65% to CN¥1.55. Yet prior to the latest earnings, the analysts had been forecasting revenues of CN¥82.4b and losses of CN¥2.21 per share in 2025. Although the revenue estimates have fallen somewhat, XPeng'sfuture looks a little different to the past, with a very promising decrease in the loss per share forecasts in particular.

See our latest analysis for XPeng

The consensus price target was broadly unchanged at US$25.91, implying that the business is performing roughly in line with expectations, despite adjustments to both revenue and earnings estimates. The consensus price target is just an average of individual analyst targets, so - it could be handy to see how wide the range of underlying estimates is. Currently, the most bullish analyst values XPeng at US$35.67 per share, while the most bearish prices it at US$18.19. Even so, with a relatively close grouping of estimates, it looks like the analysts are quite confident in their valuations, suggesting XPeng is an easy business to forecast or the the analysts are all using similar assumptions.

Looking at the bigger picture now, one of the ways we can make sense of these forecasts is to see how they measure up against both past performance and industry growth estimates. The analysts are definitely expecting XPeng's growth to accelerate, with the forecast 73% annualised growth to the end of 2025 ranking favourably alongside historical growth of 35% per annum over the past five years. Compare this with other companies in the same industry, which are forecast to grow their revenue 15% annually. It seems obvious that, while the growth outlook is brighter than the recent past, the analysts also expect XPeng to grow faster than the wider industry.

The Bottom Line

The most important thing to take away is that the analysts reconfirmed their loss per share estimates for next year. Regrettably, they also downgraded their revenue estimates, but the latest forecasts still imply the business will grow faster than the wider industry. Even so, earnings are more important to the intrinsic value of the business. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. We have forecasts for XPeng going out to 2027, and you can see them free on our platform here.

Another thing to consider is whether management and directors have been buying or selling stock recently. We provide an overview of all open market stock trades for the last twelve months on our platform, here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.