Xpeng (NYSE:XPEV) stock is dropping on Thursday as investors react to a drop in deliveries for the month of November.
The bad news for holders of XPEV stock starts with the Chinese electric vehicle (EV) company’s deliveries of 5,811 units for November. That represents a 63% drop compared to its 15,613 deliveries for the same month in 2021.
Xpeng attributes this decline to the ongoing effects that Covid-19 is having on its business. That includes China continuing to deal with strict lockdowns as part of the government’s zero-Covid policy.
XPEV Also Faces Tough Competition From Rivals
Nio (NYSE:NIO) reported deliveries of 14,178 units for the month of November. Unlike Xpeng, that’s a year-over-year (YOY) increase of 30.3%. It’s also more than double the number of deliveries reported by Xpeng.
Li Auto (NASDAQ:LI) also did well during the period, with deliveries coming in at 15,034 vehicles. That’s more bad news for XPEV stock, as it represents an 11.5% (YOY) increase from deliveries made in November 2021. Both of these show Xpeng losing steam despite its rivals continuing to grow.
Another thing worth noting is XPEV stock’s massive rally yesterday. That followed its most recent earnings report, which impressed investors. However, today’s news is somewhat deflating the growth Xpeng saw on Wednesday.
XPEV stock is down 6.4% as of Thursday morning and down 80% since the start of the year.
Investors looking for more of the latest stock market news are in the right place!
InvestorPlace is home to all of the hottest stock market coverage for Thursday! A few examples include what has shares of Snowflake (NYSE:SNOW), Winc (NYSEMKT:WBEV) and Mullen Automotive (NASDAQ:MULN) stock on the move today. You can catch up on all of that news at the following links!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.