Goldman Sachs released a research report stating that they maintain a "buy" rating on Xpeng Motors-W (09868) with a target price of 46 Hong Kong dollars. Looking ahead, Goldman Sachs believes that investors will focus on the orders and capacity enhancement progress of Xpeng Motors MONAM03 and P7+, the new model production line and output outlook for 2025, as well as the potential timing for achieving breakeven.

The report states that Xiaopeng Autos exceeded market expectations with a gross margin of 15.3% in the third quarter of this year. Goldman Sachs believes that the improvement in gross margin is mainly due to higher production volumes that reduced fixed costs per vehicle, as well as further confirmation of revenue from Volkswagen's technical services. At the same time, due to long-term investment losses, Xiaopeng Autos' adjusted net income in the third quarter was 13% lower than Goldman Sachs' expectations. Xiaopeng Autos' EBIT in the third quarter was also 2% lower than market expectations, which Goldman Sachs attributes to non-cash losses arising from fair value changes related to the acquisition of Didi Global Inc's smart automobile business.