We recently published an article titled Why These 15 Vehicles & Parts Stocks Are Surging In 2025. In this article, we are going to take a look at where XPeng Inc. (NYSE:XPEV) stands against the other vehicles and parts stocks.
Certain automotive companies have held up surprisingly well in the current environment, and that’s especially true with companies that supply automotive parts. The high interest rate regime was supposed to crush automotive companies across the board, and early tariffs specifically targeted countries that produced the most automotive parts for the U.S.
Even then. These stocks have done well since high interest rates have made it difficult for low-income consumers to buy new cars. Instead, they have opted for repairing their existing vehicles, which has been a tailwind for automotive parts companies for the past two years. The average age of vehicles was already at a record 12.6 years in 2024, so this tailwind isn’t going away anytime soon.
Customers who have higher incomes have kept on buying new vehicles. It is mostly because of them that consumer spending has held up across the board. Here are the biggest winners from this trend.
Even during bear markets, there are pockets of the market that perform exceptionally well. For example, I identified 15 Financial Services Stocks that are up the Most in 2025 in another article.
Methodology
For this article, I screened the best-performing vehicles & parts stocks year-to-date.
I will also mention the number of hedge fund investors in these stocks. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A close-up of a luxury electric sports sedan, its sleek body reflecting the energy of progress.
XPeng Inc. (NYSE:XPEV)
Number of Hedge Fund Holders In Q4 2024: 17
XPeng Inc. (NYSE:XPEV) is a prominent Chinese manufacturer specializing in smart electric vehicles. The company offers several popular EV models in China and has received investment from Volkswagen.
XPeng Inc. (NYSE:XPEV)’s stock performed strongly early in 2025, surging over 40% by early February, driven by rapidly increasing vehicle deliveries. The company has consistently reported robust delivery growth.
In April 2025, XPeng delivered 35,045 smart EVs, a 273% increase year-over-year, marking the sixth consecutive month with over 30,000 deliveries. For the first four months of 2025, total deliveries reached 129,053 vehicles, representing a 313% increase compared to the same period in 2024.
This strong delivery performance, achieved despite increased competition and a slowing Chinese economy, indicates sustained demand. Analysts anticipate XPeng’s revenue growth will continue to significantly outpace the industry average in the coming years.
The consensus price target of $22.2 implies 12.2% upside.
XPeng Inc. (NYSE:XPEV) stock is up 67.17% year-to-date.
Overall XPEV ranks 4th on our list of vehicles and parts stocks that are surging in 2025. While we acknowledge the potential of XPEV as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than XPEV but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
