XPeng: Q4 Net Profit, Leading Gross Margins, Cheap

The Asian Investor31.77K FollowersFollow5ShareSavePlay(8min)CommentsSummaryXPeng achieved its first-ever GAAP net profit in Q4, marking a significant turnaround and improved investment setup.Q4 saw strong delivery momentum, especially for the Mona brand, driving 38.2% year-over-year revenue growth to $3.18B.Despite a slight margin contraction to 13%, I reaffirm my buy rating on XPEV, citing upside risk skew from delivery growth.Q1'26 guidance disappointed, but I view the business trend as favorable and recommend buying the dip.winhorse/iStock Unreleased via Getty Images Chinese electric vehicle maker XPeng (XPEV) reported better-than-expected earnings for its fourth quarter on March 20, 2026, which also highlighted the firm's first quarterly net profit on a GAAP basis in its history. The swing to aThis article was written byThe Asian Investor31.77K FollowersFollowI am interested in a lot of technology and AI stocks like Google, Nvidia, AMD, Tesla and Amazon.Analyst’s Disclosure: I/we have a beneficial long position in the shares of NIO, LI either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.