HSBC lowered its price target on XPeng on Tuesday, trimming the target by 3% while maintaining a Buy rating as the Guangzhou-based company prepares for what could be one of the most transformative years in its history.
Analyst Yuqian Ding cut his target to $27.70 from $28.60.
Based on Friday’s closing price of $21.08, the new target implies upside potential of 31.4%.
XPeng shares were trading 2% lower on the first minutes of Tuesday’s session, falling to $20.28 amid a broader market selloff on concerns of renewed tariff tensions after President Donald Trump said eight NATO members’ US imports will face escalating tariffs linked to the purchase of Greenland.
Coverage History
Ding initiated coverage on XPeng in April 2022 with a Buy rating and a $37 price target.
The stock was trading around $22 at the time, having fallen sharply from its all-time high above $74 reached in late 2020.
In April 2022, when XPeng‘s global ambitions were in early stages, the analyst said technology leadership and a solid product cycle would drive “rapid sales growth.”
The stock continued falling through 2022, hitting an all-time low of $6.18 in late October that year before beginning a gradual recovery.
In his previous update last August, Ding expected XPeng to turn a profit starting in the fourth quarter of 2025 and raised earnings forecasts for 2025 to 2027 by 51%, 27%, and 1% respectively.
The bank lifted its target from $27.40 to $29.60, with the stock trading in the mid-$20s.
XPeng shares are nearly flat year to date but have jumped more than 40% over the past twelve months.
The stock hit a 52-week high of $28.24 in late 2025 before pulling back to current levels.
Pivotal 2026
This year will be one of the most important in XPeng‘s history as the company shifts focus beyond electric vehicles into extended-range hybrids, flying cars, humanoid robots, and robotaxis.
XPeng announced plans to begin mass production of its humanoid robot named IRON and its robotaxi fleet at the company’s AI Day held last November in China.
CEO He Xiaopeng announced Monday that XPeng has successfully rolled off the first unit of its ET1 humanoid robot, calling it “a critical step toward the large-scale mass production of advanced humanoid robots this year.”
Global Expansion
XPeng announced Tuesday that its global retail network has surpassed 1,000 stores.
The company had 380 stores outside China as of year-end — accounting for more than one-third of its total retail footprint. The overseas network jumped 150% from the 150 international stores it operated at the end of 2024.
XPeng met its 2025 expansion target, doubling its global presence from 30 to 60 markets.
2026 Delivery Targets
Earlier this month, local media outlet 36Kr reported that XPeng has set a delivery target of 550,000 to 600,000 vehicles for 2026, representing 28-40% growth from the 429,445 units delivered in 2025.
The company met its 2025 target of 380,000 vehicles one month ahead of schedule, ultimately exceeding guidance by 13%.
XPeng began producing extended-range electric vehicles in late 2025, marking its entry into the hybrid segment after years of producing only battery electric vehicles.
In 2026, the company plans to launch several new models in both China and globally while introducing its budget Mona series to European markets.
XPeng is expected to report fourth-quarter financial results between March 16 and March 20, according to market data.
