On August 23, Guolong published a report stating that Xpeng Motors' second-quarter non-GAAP net loss was 1.22 billion yuan, but it believes that the company's gross margin and profitability continue to improve, and effective cost control has driven performance beyond market expectations. The report suggests that Xpeng will usher in a new product cycle and believes that the scale effect and technological cost reduction will accelerate. Guolong maintains a 'outperforming the industry' rating for Xpeng, maintaining profit forecasts for the next two years, but considering the sector's valuation correction, it has lowered its target price by 19% to 38 Hong Kong dollars.