Dahua Jixian published a Research Report indicating that XPeng's auto deliveries in the fourth quarter increased by 52% year-on-year and by 97% quarter-on-quarter, exceeding the company's management guidance and the bank's expectations. Moreover, the better-than-expected performance in the fourth quarter drove the company’s total deliveries for 2024 to approximately 0.19 million units (indicating a 34% year-on-year increase), slightly above the company and the bank's expectations. Looking ahead, XPeng aims to deliver 0.35 million cars this year, significantly higher than Dahua Jixian's forecast of 0.23 million cars. The bank noted that XPeng's ambitious sales target for this year deviated from its expectations, mainly due to strong sales of its budget model, the Mona M03, as well as the launch of other budget models under the Mona sub-brand. Dahua Jixian revised XPeng’s 2024 to 2026 auto delivery forecasts from 0.188 million, 0.23 million, and 0.28 million units to 0.19 million, 0.35 million, and 0.4 million units, respectively; net loss forecasts were revised down by 1%, 36%, and 47%, respectively. The bank raised XPeng's Target Price from HKD 35 to HKD 43, while upgrading the rating from 'Sell' to 'Hold.'