Why Nio, XPeng, and Li Are Leading Wednesday's Stock Market Recovery
The topsy-turvy market action we've seen over the past week continued on Wednesday morning, with many market participants breathing a sigh of relief as stocks looked poised to climb and regain some of their losses from Tuesday. As of 9 a.m. ET, futures contracts on the Dow Jones Industrial Average (DJINDICES: ^DJI) were up 306 points to 34,763. S&P 500 (SNPINDEX: ^GSPC) futures gained 56 points to 4,622, and Nasdaq Composite (NASDAQINDEX: ^IXIC) futures were up 219 points to 16,369.
It's the first day of the month, and that means Chinese electric vehicle companies are reporting their latest delivery figures. Many investors in the high-growth space watch these numbers closely, and this morning, they're pretty happy with what they're seeing. Below, we'll show why Nio (NYSE: NIO) , XPeng (NYSE: XPEV) , and Li Auto (NASDAQ: LI) are all moving higher Wednesday morning.
Nio picks up the pace
Shares of Nio were up 3.5% in premarket trading Wednesday morning, bouncing from Tuesday's losses . The EV maker's November delivery update featured another new record high along with impressive gains from year-ago levels.
Nio delivered 10,878 vehicles in November. That was up more than 105% year over year, with deliveries of 4,713 ES6 models, 3,482 EC6 models, and 2,683 ES8 models. That brought Nio's delivery total to 80,940 for the first 11 months of the year, which was 120% higher than in the same period in 2020.
All told, Nio has delivered a total of 156,581 of its vehicles since its inception. With a solid combination of five-seat and six- to seven-seat offerings, Nio has done a good job of capturing a key part of the market by focusing on SUVs.
XPeng takes the lead
Shares of XPeng were up 3% in premarket trading. The company out-delivered Nio and celebrated the release of a new vehicle line.
XPeng delivered 15,613 EVs during November, which was up 270% year over year. The 7,839 P7 sedans it shipped represented about half that total, but XPeng also saw early success with its newer launches. The G3i SUV launched in July delivered 5,546 vehicles, while the September launch of the P5 sedan resulted in 2,154 deliveries. That brought total deliveries in 2021 to 82,155, and lifetime EV deliveries hit 121,953.
Investors are looking forward to the release of the G9 SUV, which features advanced driver assistance as well as next-generation supercharging. Deliveries won't start until the second half of 2022, but along with advances in its charger network, XPeng is in a great position for future growth .
Li's the big winner
Leading the way higher in terms of stock price was Li , whose shares rose 5%. Its delivery figures were similarly impressive.
Li set a new monthly record, delivering 13,485 Li One vehicles in November. That was 190% higher than delivery counts in November 2020. That brought total deliveries for the year above the 76,400 mark, with total lifetime deliveries of just over 110,000.
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Even shares of Tesla (NASDAQ: TSLA) are higher by about 1.5% this morning, although the U.S. company reports deliveries only on a quarterly basis. Nevertheless, with so much demand for EVs in China, it's clear that the transformation in the auto industry is proceeding apace. Shareholders who bet on that trend early on have been soundly rewarded.
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