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Nio, XPeng stocks swing to losses despite big jumps in November deliveries

Tomi Kilgore and Steve Goldstein

Nio deliveries more than double in November and Xpeng's more than quadruple but shares sell off, along with stocks of other China-based EV companies

Shares of Nio Inc. and XPeng Inc. reversed course to trade sharply lower, again, even as the China-based electric vehicle makers reported strong growth in November deliveries, with Nio's more than doubling and Xpeng's more than quadrupling.

Nio's stock (NIO) bounced as much as 3.1% early in the session, then pulled a U-turn to trade down 12.7% in afternoon trading, after falling 6.4% on Monday (link). XPeng shares (XPEV) shot up as much a 7.8% intraday before swinging to a loss of 12.2%, after dropping 8.6% the day before.

Nio said it delivered a record 5,291 vehicles in November (link), up 109.3% from a year ago.

The deliveries included 1,387 of Nio's flagship 6-seater and 7-seater smart electric SUVs, the ES8; 2,386 of the 5-seater SUVs, the ES6; and 1,518 of the 5-seater coupe SUVs, the EC6.

So far this year, the company has delivered 36,721 EVs, which is 111.1% more than the same time last year.

Nio said it was in the process of accelerating the production capacity expansion in December.

XPeng reported November deliveries of 4,224 EVs, up 342% from the same period last year.

The deliveries included 2,732 P7 sports sedans and 1,492 G3 compact SUVs.

Year to date, XPeng has delivered 21,341 vehicles, up 87% from the same period last year.

The back-to-back pullbacks in Nio and XPeng shares come a day before the U.S. House of Representatives is slated to consider a measure (link) in which China-based companies listed on U.S. exchanges would have to undergo annual audits that are reviewed by U.S. regulators or be delisted. The declines also come after the stocks enjoyed massive rallies in November.

Nio's stock had soared 65.2% in November and XPeng shares had run up 203.2%, compared with a 2.7% monthly gain for the iShares MSCI China exchange-trade fund (MCHI) and the S&P 500 index's 10.8% rise.

For Nio, the stock had extended its monthly win streak to eight months, and had skyrocketed 1,717.6% during that streak.

XPeng shares went public on Aug. 27, closing that day at $21.22. Since then, they had hiked up 176.9% through Monday.

Among other China-based EV makers, shares of Li Auto Inc. (LI) erased an earlier gain of 9.3% to trade down 4.5% on Tuesday, after soaring 78.4% in November. The stock has recorded a monthly gain for each month since going public on July 30.

Meanwhile, Kandi Technologies Group Inc.'s stock (KNDI) tumbled 12.1%, after plunging 28.3% on Monday following a negative report by short seller Hindenburg Research.

Don't miss: Kandi stock plunges after short seller alleges 'brazen scheme' to falsify revenue (link).

Kandi's stock still rallied 55.9% in November, and have more than doubled (up 106.3%) year to date.

Shares of China Automotive Systems Inc. (CAAS) soared as much as 30.4% earlier, before taking a dive to slump 17.2%. The Wuhan, China-based company's stock had rocketed 174.2% on Monday (link), after it said it has shipped 120,000 of its electric power-steering products for use in electric vehicles so far this year, and expects to sell another 20,000 of those products through the end of the year.

-Tomi Kilgore; 415-439-6400;


(END) Dow Jones Newswires

12-01-20 1542ET

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