LI - Why did Xpeng stock sink on Monday? Gloomy guidance amid supply chain challenges

Cautious guidance from Xpeng Inc. (NYSE:XPEV -5.5%) management motivated a down day for the EV manufacturer on Monday. The Guangzhou-based company reported a lighter loss than anticipated in the first quarter while driving revenue well beyond the prior year’s figures on a solid uptick in deliveries. However, the automaker offered disappointing guidance after the earnings beat, which appeared to set the trend for the stock on Monday. The company now expects deliveries to fall between 31,000 and 34,000 for the second quarter, a contraction from the first quarter. Meanwhile, total revenue expectations between RMB6.8 billion ($1.02 billion) and RMB7.5 billion ($1.12 billion) also represented a slight pullback from the first quarter and were viewed as a sign of caution for the months of May and June.  Management also noted that supply chain problems in terms of COVID tamps, material inflation, and semiconductor shortages are persisting longer than initially anticipated. “Because

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Why did Xpeng stock sink on Monday? Gloomy guidance amid supply chain challenges