NIO, XPeng, and Other Chinese EV Stocks Under Pressure After Tesla’s Outlook

Tesla
just tanked electric vehicle stocks.

The EV pioneer’s weaker-that-expected fourth-quarter numbers and vague volume guidance for this year are hitting nearly all makers of battery-powered cars.

Shares in Chinese EV makers as well as EV startups were under pressure on Thursday after Tesla’s fourth-quarter earnings report after Wednesday’s closing bell. Tesla reported per-share earnings of 71 cents. Wall Street was expecting 73 cents.

Also, Tesla said its vehicle volume growth rate may be “notably lower” this year than last. Wall Street was expecting a growth slowdown, but the messaging contributed to a sour mood for investors—and Tesla shares fell.

In premarket trading on Thursday, Tesla stock was down 8%. The
S&P 500
and
Nasdaq Composite
futures were both roughly flat. The premarket share price of about $190 puts the stock down 23% this year.

Tesla’s earnings miss was being felt by both Chinese EV makers and by EV startups in the U.S.

In Hong Kong trading, Chinese EV maker
NIO
tumbled 4.7%; the stock is down 36% this year.
XPeng
dropped 3.4%—off 37% sinve the start of January.
Li Auto
declined 0.5%; those shares are off 24% so far.

Shares of
BYD,
which sold more battery electric vehicles than Tesla in the fourth quarter, dropped 0.5%. The stock is down 7% for the year.

In premarket trading in the U.S, shares of
Rivian Automotive,

Lucid,
and
Fisker
were down 2.4%, 3.6%, and 3.2%, respectively.
Polestar Automotive
stock was off 3.7%.

Coming into Thursday, those four stocks were off about 30% on average thi yesr. .

Ford Motor
and
General Motors
were even feeling the Tesla backlash. Ford was down 1.3%. GM shares were off 1.1%. For the year, those shares were down about 10% and 3%, respectively.

Write to Jack Denton at [email protected]

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