Daiwa Capital Markets analyst Kelvin Liu stated in a report that XPeng Inc. is positioned to benefit from its artificial intelligence-related ventures, including humanoid robotics and robotaxi services.

To account for anticipated revenue contributions from its robotics business, Daiwa has raised its 2027 revenue forecast for XPeng Inc. by 13%.

Liu further noted that the company's strategy of localizing production is expected to help mitigate potential geopolitical risks.

He also indicated that the recent expansion in XPeng's gross margin points to an improving product mix and more effective cost management.

Liu added that, supported by the commencement of overseas deliveries for the P7+ model, the company's management anticipates international revenue will contribute more than 20% starting from the second fiscal quarter.

Despite a slowdown in domestic electric vehicle market growth, Daiwa has reaffirmed its Buy rating on the stock, though it has reduced its price target from $29 to $25.