XPEV stock has absorbed a deep discount since late November, which makes it an ideal dollar cost-averaging opportunity.

XPeng is worth far more than its present price. XPEV stock is worth 31% to 100% more based on the growth in the Chinese EV market.

Much of the consternation surrounding Chinese EV makers stems from the Holding Foreign Companies Accountable Act – bipartisan legislation that seeks to hold Chinese companies listed on major U.S. exchanges to the same standards American companies deal with. Not only is this a bipartisan bill, a rarity on Capitol Hill, given his hard line against the world's second-largest economy, President Trump is likely to sign it before leaving office.

Short-term headwinds are there, but XPEV stock is a buy on strong institutional backing and substantial growth in deliveries and margins.

XPEV stock might not have the clout that surrounds other electric vehicle stocks, but the setup for much higher prices is there nonetheless.