Tesla, Nio Rival Xpeng Sees High Interest From Mainland Chinese Investors After Inclusion In Stock Connect Program

Xpeng Inc XPEV fetched significant inflows on the first day of inclusion in a stock connect program linking the Hong Kong stock market and Chinese mainland investors.

What Happened: Xpeng received inflows worth about $98.5 million (HK$765 million) of turnover by mainland Chinese investors through the stock connect mechanism, cnEVpost reported.

The development left Xpeng the eighth most traded stock in the Hong Kong-Mainland Stock Connect and the most net bought stock by mainland investors in the Hong Kong-Shenzhen Stock Connect on Thursday.

See Also: Tesla Rival Xpeng Says Investor Reach To Increase In China As Its Stock Gets Included In Stock Connect Program

Why It Matters: The stock linking mechanism is aimed at allowing investors from Hong Kong and mainland China to buy  stocks in the other region.

The Guangzhou, China-based Xpeng is seen as a rival to global EV leader Tesla Inc TSLA and homegrown startup Nio Inc NIO.

Xpeng enjoys a dual-primary listing status; it debuted on the Main Board of the HKEX on July 7 last year and began trading on the New York Stock Exchange in August 2020.

Price Action: Xpeng shares closed 9.6% higher at $40.7 a share on Wednesday. The stock is down 19% year-to-date.

Photo: Courtesy of Xpeng

Posted In: Long IdeasNewsTechMediaTrading IdeasChinaelectric vehiclesEVs
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!

Loading...