Goldman Sachs Issues "Buy" Rating for XPENG-W with HK$85 Target, Citing Strong Q1 Revenue Guidance

Deep News
Mar 23

Goldman Sachs has released a research report indicating that XPENG-W (09868) reported better-than-expected gross profit and EBIT for the fourth quarter of 2025, outperforming both the bank's and market expectations. This was primarily driven by higher-than-anticipated service and other revenues, as well as increased government subsidies. Although the delivery guidance for the first quarter of 2026, set between 61,000 and 66,000 vehicles, is relatively low, the revenue guidance of 12.2 billion to 13.28 billion yuan exceeded the bank's forecasts, likely supported by non-automotive revenue. Goldman Sachs has assigned a "Buy" rating with a target price of HK$85 for the Hong Kong-listed shares. The bank expects investors to focus on XPENG's first-quarter gross margin guidance, progress in humanoid robotics and autonomous driving technology, as well as the timeline for new model launches and overseas expansion strategy for the full year.

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