Tesla reportedly planning six-seat Model Y in China for 2025
Institutional investors and professional traders rely on The Fly to keep up-to-the-second on breaking news in the electric vehicle and clean energy space, as well as which stocks in these sectors that the best analysts on Wall Street are saying to buy and sell.
From the hotly-debated high-flier Tesla (TSLA), Wall Street’s newest darling Rivian (RIVN), traditional-stalwarts turned EV-upstarts GM (GM) and Ford (F) to the numerous SPAC-deal makers that have come public in this red-hot space, The Fly has you covered with “Charged,” a weekly recap of the top stories and expert calls in the sector.
TESLA:
William Blair initiated coverage of Tesla. The firm views Tesla Energy as the most underappreciated component of the Tesla story and expects the narrative will shift toward the energy storage business in light of tempered electric vehicle expectations in the near term.
CHINA-MADE EV SALES:
Sales of U.S. automaker Tesla’s China-made electric vehicles grew 3% in August from a year earlier, data from the China Passenger Car Association showed on Monday, according to Reuters. Deliveries of its China-made Model 3 and Model Y vehicles rose 17% from July.
SIX-SEAT MODEL Y:
Tesla plans to produce a six-seat variant of its Model Y car in China from late 2025, Reuters reports. According to two people with direct knowledge of the matter, Tesla has asked suppliers to prepare accordingly for a double-digit increase of Model Y output at its Shanghai factory. Tesla released the Model Y in 2020 and has been revamping it under a project dubbed “Juniper,” which will seat five and will launch in early 2025 rather than this year as initially planned, one person says.
Click here to check out Tesla’s recent Media Buzz Sentiment as measured by TipRanks.
BULLISH ON XPENG:
Macquarie upgraded XPeng (XPEV). Xpeng’s new MONA M03 pays homage to Tesla’s Model 3 with “a similar name and similar car, but at nearly half the price,” says the firm. A test drive found the entry-level M03 “competitively priced with features seen only on cars priced 45-95% higher,” added Macquarie, which raised its M03 volume estimate to 180,000 in FY25.
AUGUST DELIVERIES:
XPeng announced its vehicle delivery results for August 2024. The company delivered 14,036 Smart EVs in August, representing increases of 3% year-over-year and 26% over the prior month. In the first eight months of 2024, XPeng delivered 77,209 Smart EVs, a 17% increase from the same period last year.
Meanwhile, Li Auto (LI) announced that it delivered 48,122 vehicles in August 2024, an increase of 37.8% year-over-year. This brought the company’s total deliveries in 2024 to 288,103. As of August 31, 2024, its cumulative deliveries reached 921,467 vehicles.
Nio (NIO) also announced its August 2024 delivery results. The company delivered 20,176 vehicles in August 2024. The deliveries consisted of 11,923 premium smart electric SUVs, and 8,253 premium smart electric sedans. Cumulative deliveries of Nio vehicles reached 577,694 as of August 31, 2024. The company delivered 128,100 vehicles year-to-date in 2024, increasing by 35.8% year-over-year.
ARCHER, JOBY:
H.C. Wainwright initiated coverage of Archer Aviation (ACHR). The firm says Archer is progressing towards FAA certification with six of its Midnight aircraft, the first three of which are moving towards final assembly and scheduled for piloted flight tests in late 2024.
H.C. Wainwright also started coverage of Joby Aviation (JOBY). The firm says the company has been completing several certification and production milestones that lead it to believe Joby could begin initial commercial operations in 2025.
ON THE SIDELINES:
William Blair initiated coverage of First Solar (FSLR). First Solar appears the best positioned company in the solar sector, given its ability to ramp up capacity, and its low-cost thin-film solution can compete directly with low-cost Chinese imports, while retaining industry-leading margins, the firm tells investors in a research note. However, Blair says that with just under 50% share of the U.S. utility-scale solar market, a shift in the sector is likely to have an outsized impact on First Solar. Therefore, if the PJM auction results are the start of a trend, this could have a negative impact on First Solar’s metrics such as backlog, production, and tax credits, the firm adds.
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Originally Posted September 2024 – Charged: Tesla, China-made EV sales up
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