Deutsche starts Xpeng at Buy, sees multiple electric vehicle winners

Deutsche Bank analyst Edison Yu initiated coverage of Xpeng (XPEN) with a Buy rating and $58 price target. The stock closed Friday down 45c to $44.31. The analyst believes his “Fab Four” thesis from September, where NIO (NIO), XPeng (XPEV), Li Auto (LI) and WM Motor Fab Four represented an emerging class of automakers backed by well capitalized tech titans and local governments looking to disrupt the auto industry has been playing out. Along with Tesla (TSLA), these automakers are “increasingly destined to conquer” the Chinese auto market, Yu tells investors in a research note. The analyst expects “multiple winners” in the new electric vehicle “world order.”