QS - Why QuantumScape Nio and XPeng Stocks Rocketed More Than 50% Higher in July
2023-08-08 08:36:37 ET
Some electric vehicle (EV) sector stocks blasted higher in July. But investors took some profits, giving others an education on owning these volatile names. Solid-state battery maker QuantumScape (NYSE: QS) led the way with a 67% gain in July, according to data provided by S&P Global Market Intelligence .
Chinese EV makers Nio (NYSE: NIO) and XPeng (NYSE: XPEV) weren't far behind with increases of 58% and 56%, respectively, for last month. While the Chinese stocks gave back some of those hefty gains, QuantumScape shareholders have seen the entire July rise erased in just the first week of August. There's a good lesson for investors in all of that volatility.
There were real and fundamental reasons why investors pushed shares of these companies sharply higher last month. QuantumScape updated investors on positive progress toward commercialization of its technology, XPeng announced a surprise new partnership with global automaker Volkswagen , and Nio returned to strong sales growth with signs that indicate that can continue.
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Why QuantumScape, Nio, and XPeng Stocks Rocketed More Than 50% Higher in July