XPeng (XPEV) Drops 7.9% on Lower Nov Deliveries

XPEV -3.76%

We recently published 10 Stocks Deep in the Red. XPeng Inc. (NYSE:XPEV) is one of the worst performers on Tuesday.

XPeng dropped its share prices by 7.92 percent on Tuesday to close at $19.66 apiece as investor sentiment was dampened by the lower vehicle deliveries in November.

In an updated report on Monday, XPeng Inc. (NYSE:XPEV) said that it delivered 36,728 smart electric vehicles last month, 12.6 percent lower than the 42,013 vehicles delivered in October. However, the latest figures were higher by 19 percent year-on-year.

For the first 11 months of the year, XPeng Inc. (NYSE:XPEV) has already delivered 391,937 units, representing a 156 percent jump year-on-year.

In terms of overseas operations, deliveries from January to November ended at 39,773 units, marking a 95 percent jump from the same period last year.

For this month, investors will be closely watching out for updates on its VLA 2.0 large model, which adopts a brand new “Vision-Implicit Token-Action” path, effectively eliminating the language translation step.

According to XPeng Inc. (NYSE:XPEV), this would achieve for the first time an end-to-end direct generation from visual signals to action commands, completely subverting the industry’s traditional “V-L-A” architecture and bringing a new physical model paradigm.

The VLA 2.0 is both an action generative model and a physical world model for understanding and prediction. It can also perform self-evolving learning while understanding the interaction laws of the real world.

The said model can be cross-domain driven and applied to AI cars, humanoid robots, and flying cars simultaneously.

While we acknowledge the potential of XPEV as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.