J.P. Morgan cuts XPeng to Neutral and its target to $11.50

J.P. Morgan's Nick Lai cut XPeng from Overweight to Neutral on 29 September and lowered his New York target from US$24 to US$11.50. He had kept XPeng at Overweight while lowering the target step by step from the US$50 set in November 2025. As CNBC and Korea's Edaily reported the note, it turns cautious on China's car market as a whole: it expects demand to stay weak through the second half of 2026 and structural challenges, higher input costs among them, to last into 2027, and says investors may not value AI initiatives that bring no immediate earnings contribution. J.P. Morgan cut BYD to Neutral the same day, and reports name Geely and Leapmotor too. XPEV closed down 4.8% at US$9.47 on about twice its usual volume, its lowest close since September 2024. No Hong Kong target from the note has been published.