XPeng And BYD Are Squeezing Tesla; And BYD Is Leading The Race
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James FoordInvesting Group LeaderFollow5ShareSavePlay(8min)CommentsSummaryBYD (BYDDY) is positioned as the long-term winner in the global EV market, outpacing Tesla and XPeng in scale, technology, and profitability.BYDDY leads with mass-market self-driving, ultra-fast charging, aggressive pricing, and local production, driving share gains in China, Europe, and emerging markets.Valuation for BYDDY is compelling: forward P/E 17.38, PEG 3.18, Price/Cash Flow under 7, and the highest EBITDA margin among peers.Tesla’s technology and market share moats are eroding, while XPeng offers higher risk/reward but lacks BYDDY’s scale and efficiency. Ake Ngiamsanguan/iStock via Getty Images Thesis Summary XPeng (XPEV) and BYD (BYDDY) have often been seen as the foreign alternatives to Tesla (TSLA). A competitive threat, no doubt, but for a long time, no one considered these to be on the sameThis article was written byJames Foord26.25K FollowersFollowJames Foord is an economist by trade and has been analyzing global markets for the past decade. He leads the investing group The Pragmatic Investor where the focus is on building robust and truly diversified portfolios that will continually preserve and increase wealth.
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