China/Asia TMT

Shawn Yang

China growth and global non-US Internet equities

Blue Lotus Research Institute

Blue Lotus Research is a Hong Kong Type 4 Licensed investment advisory firm focusing on Chinese growth equities and global non-US Internet equities

Thematic (Sector/Industry)

<ul>
<li>XPEV: XPeng begins pre-sales of G6 with starting price at RMB 225k (+)</li>
<li>Nayuki: Chabaidao finished a round of private equity financing at RMB18bn valuation</li>
<li>PDD/ 4385.JP/ 4689.JP/ 4755.JP/ AMZN.US/ Shein: Temu could soon launch in Japan (+/-/-/-/-/-)</li>
</ul>


XPEV: XPeng begins pre-sales of G6 with starting price at RMB 225k (+)
Nayuki: Chabaidao finished a round of private equity financing at RMB18bn valuation
PDD/ 4385.JP/ 4689.JP/ 4755.JP/ AMZN.US/ Shein: Temu could soon launch in Japan (+/-/-/-/-/-)


China TMT UpdateXPEV/TESLA/Nayuki/PDD/4385.JP/ 4689.JP/4755.JP: Pre-Sales of G6, Temu Comes to Japan

<ul>
<li>Tencent/700.HK: new promotional video for "HoK(Honour ok Kings) World" is released</li>
<li>Douyin/Meituan/3690.HK: Last week, the "Douyin Sales Assistant" app was launched</li>
<li>XPEV/1211HK/TSLA/LI/NIO: China to extend purchase tax exemption for NEVs (+/+/+/+/+)</li>
</ul>


Tencent/700.HK: new promotional video for "HoK(Honour ok Kings) World" is released
Douyin/Meituan/3690.HK: Last week, the "Douyin Sales Assistant" app was launched
XPEV/1211HK/TSLA/LI/NIO: China to extend purchase tax exemption for NEVs (+/+/+/+/+)


700.HK/Douyin/3690.HK/XPEV/1211HK/TSLA/LI/NIO: China to Extend Purchase Tax Exemption for NEVs

<ul>
<li>LI/NIO/XPEV: Li Auto, NIO and Xpeng announced May vehicle delivery results (+/-/)</li>
<li>XPEV: Xpeng to begin presale for G6 on June 9 (+)</li>
<li>KE Holding: Monthly housing transactions remain resilient in May (+)</li>
</ul>


LI/NIO/XPEV: Li Auto, NIO and Xpeng announced May vehicle delivery results (+/-/)
XPEV: Xpeng to begin presale for G6 on June 9 (+)
KE Holding: Monthly housing transactions remain resilient in May (+)


China TMT Update June 3 - KE/LI/NIO/XPEV: Xpeng to Begin Presale for G6 on June 9(+)

External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

<ul><li>Nine new-energy vehicle (NEV) brands including BYD, NIO, Xpeng, Li Auto, Zeekr, Aion, Aito, Neta and Leap reported their May 2023 sales volumes on 1 Jun 2023.</li><li>Sales volume of the nine brands combined rose 88% YoY (ranged from -26% to +146%) and 13% MoM (ranged from -8% to 38%) in May 2023.</li><li>Li Auto’s May sales more than doubled NIO and Xpeng combined.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Nine new-energy vehicle (NEV) brands including BYD, NIO, Xpeng, Li Auto, Zeekr, Aion, Aito, Neta and Leap reported their May 2023 sales volumes on 1 Jun 2023.Sales volume of the nine brands combined rose 88% YoY (ranged from -26% to +146%) and 13% MoM (ranged from -8% to 38%) in May 2023.Li Auto’s May sales more than doubled NIO and Xpeng combined.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Auto Sector – May NEV likely to hit second highest in history

Equity Bottom-Up

<ul><li>We downgrade Xpeng to HOLD from Buy, as we believe its lingering issues, such as product positioning and low margins may not be resolved this year.</li><li>We believe both G6 and the new MPV could miss management’s expectation given the competitive landscape and unclear positioning.</li><li>The failure of the upmarket move by the G9 could have much more severe dent on Xpeng in the long term, in our view. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

We downgrade Xpeng to HOLD from Buy, as we believe its lingering issues, such as product positioning and low margins may not be resolved this year.We believe both G6 and the new MPV could miss management’s expectation given the competitive landscape and unclear positioning.The failure of the upmarket move by the G9 could have much more severe dent on Xpeng in the long term, in our view. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Xpeng Inc. (XPEV US) – Lack of turnaround signals in 2023

China

XPeng Inc. designs, produces, and distributes electric vehicles. The Company designs, develops, manufactures and markets smart smart electric vehicles, as well as finance, parts, and maintenance services. XPeng serves customers in China.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

XPeng (XPEV US)

China TMT UpdateXPEV/TESLA/Nayuki/PDD/4385.JP/ 4689.JP/4755.JP: Pre-Sales of G6, Temu Comes to Japan

XPEV: XPeng begins pre-sales of G6 ， Nayuki: Chabaidao finished a round of private equity financing at RMB18bn valuation，PDD/4385.JP/4689.JP/...

Blue Lotus Research Institute

700.HK/Douyin/3690.HK/XPEV/1211HK/TSLA/LI/NIO: China to Extend Purchase Tax Exemption for NEVs

Tencent/700.HK: new promotional video for "HoK World" is released/ 3690HK: the "Douyin Sales Assistant" app was launched (-)/XPEV/1211HK/TSLA/LI...

Blue Lotus Research Institute

China TMT Update June 3 - KE/LI/NIO/XPEV: Xpeng to Begin Presale for G6 on June 9(+)

KE Holding: Monthly housing transactions remain resilient in May (+)；LI/NIO/XPEV: Li Auto, NIO and Xpeng announced May vehicle delivery results (+/...

Blue Lotus Research Institute

China Auto Sector – May NEV likely to hit second highest in history

Nine new-energy vehicle (NEV) brands including BYD, NIO, Xpeng, Li Auto, Zeekr, Aion, Aito, Neta and Leap reported their May 2023 sales volumes on...

CMB International

Xpeng Inc. (XPEV US) – Lack of turnaround signals in 2023

We downgrade Xpeng to HOLD from Buy, as we believe its lingering issues, such as product positioning and low margins may not be resolved this year.

CMB International

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)