Xpeng (NYSE:XPEV) stock is getting a boost on Friday after Jefferies analyst Johnson Wan upgraded the EV company’s shares.
That upgrade has the Jefferies analysts bumping XPEV stock up from a “hold” rating to a “buy” rating. For comparison, the analysts’ consensus rating for XPEV shares is “reduce” based on 13 opinions.
In addition to the upgrade, Wan increased his price target for XPEV stock from $7.80 per share to $25.30. That represents a potential upside of 25.1% compared to the stock’s closing price on Thursday. It’s also above the analysts’ consensus price prediction of $13.47 per share for the stock.
Why the Bullish XPEV Stock Rating?
The Jefferies analyst believes a deal with Volkswagen (OTCMKTS:VWAGY) is a positive catalyst for the company’s shares. This will see them work together to develop EVs that will be sold in China using the Volkswagen brand.
Here’s what Wan said about the deal in a note to clients obtained by CNBC:
“The start of China exporting technologies to foreign players will help Xpeng to increase its brand image globally.”
XPEV stock is seeing strong trading this morning, with some 15 million shares on the move. That’s closing in on its daily average trading volume of about 18.1 million shares. It also has XPEV stock up 8.7% as of Friday morning.
Investors looking for more of the most recent stock market coverage are in the right place!
We have all of the latest stock market news that traders need to read about on Friday! That includes why shares of Palantir (NYSE:PLTR) stock, Enphase Energy (NASDAQ:ENPH) stock, and Surf Air Mobility (NYSE:SRFM) stock are in the news today. All of that info is ready to go at the links below!
More Friday Stock Market News
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
