Last week, the China Passenger Car Association released vehicle sales data for February.NEVs, which include battery electric vehicles and plug-in hybrids, made up 48.8% of total car sales in February, jumping 79.7% year over year. Government subsidies are fueling demand, and EV adoption is surging, with price wars making smart EVs more accessible than ever. 

On the news front, EV charging infrastructure company EVgo Inc. EVGO and Japanese auto giant Toyota inaugurated their first DC fast-charging stations in Baldwin Park and Sacramento, CA, to enhance charging accessibility. Last week, WeRide Inc. WRD, which provides autonomous driving products and services for mobility, logistics and sanitation industries in China, offered a free autonomous Robobus trial in central Barcelona during March 10-14 in collaboration with Renault.

China’s EV maker Li Auto LI came out with fourth-quarter 2024 results, reflecting lower year-over-year earnings, higher revenues and a dip in vehicle margins. Close peer XPeng Inc. XPEV is preparing to mass-produce flying cars and humanoid robots by next year and is considering an investment of up to $13.8 billion in humanoid robots. Meanwhile, California-based EV maker Rivian Automotive RIVN introduced hands-free driving and performance upgrades.

Last Week’s Top Stories

Rivian introduced a major software update for its second-generation R1S and R1T vehicles, introducing hands-free highway driving via its new Enhanced Highway Assist system. This feature allows drivers to remove their hands from the wheel on compatible highways, though they must remain attentive. Rivian is also planning to introduce an “eyes-off” driving feature in 2026, likely requiring additional hardware like LiDAR.

While the company’s first-generation R1 models will not be receiving hands-free driving, RIVN has introduced other updates, including a new “Rally” mode for Dual-Motor Performance vehicles. This is available in Off-Road mode and enhances throttle response and steering for better control on difficult terrains like mud, dirt and ice. Furthermore, Rivian will allow owners to purchase the Performance Upgrade over-the-air for $5,000, boosting output to 665 horsepower and unlocking the latest drive modes like Sport and Soft Sand.

EVgo and Toyotainaugurated their first DC fast-charging stations in Baldwin Park and Sacramento, CA. Developed under Toyota’s “Empact” vision, these co-branded stations, owned and operated by EVgo, feature 350kW chargers and can simultaneously serve up to eight vehicles. With a network of more than 1,100 stations across 40+ states, EVgo partnered with Toyota to enhance charging accessibility, a critical factor for EV adoption.

Strategically positioned near shopping centers, restaurants and other amenities, the new stations offer added convenience. Additionally, EVgo has extended its charging program with Toyota, providing one year of complimentary charging for 2025 Toyota bZ4X buyers and lessees, who can access EVgo stations through the Toyota App. 

Li Auto reported a fourth-quarter 2024 EPS of 52 cents, down from the prior-year quarter’s EPS of 60 cents per share. However, revenues of $6.1 billion increased from $5.9 million in the year-ago quarter, primarily driven by a 20.4% year-over-year increase in vehicle deliveries. The company delivered a total of 158,696 vehicles in the fourth quarter of 2024. LI’s vehicle sales in the reported quarter amounted to $5.8 billion and increased 5.6% on a year-over-year basis. The vehicle margin was 19.7% compared with 22.7% in the year-ago quarter.

At the end of 2024, the company had 502 retail stores in 150 cities, 478 servicing centers and authorized body and paint shops operating in 225 cities, and 1,727 supercharging stations in operation equipped with 9,100 charging stalls. As of Dec. 31, 2024, LI had cash and cash equivalents of $9.03 billion and long-term borrowings of $1.12 billion. For the first quarter of 2025, Li Auto expects vehicle deliveries between 88,000 vehicles and 93,000 vehicles, suggesting year-over-year growth of 9.5%-15.7%. Total revenues are expected between $3.2 billion and $3.4 billion, a year-over-year decrease of 8.7% to 3.5%.

WeRide and Renault launched a free autonomous Robobus trial in central Barcelona from March 10 to 14. This marked the first test of their Level-4 autonomous public transport vehicle in Spain, following previous trials at the Roland-Garros 2024 tournament. The trial showcased self-driving technology in a dense urban setting, highlighting WeRide and Renault’s leadership in smart mobility. It supports European cities’ push for carbon neutrality and low-emission zones by offering flexible, eco-friendly transportation.

Tony Han, WeRide’s CEO, called the trial a key step in the company’s global expansion. It demonstrates WeRide’s technology in real traffic conditions, reinforcing its adaptability to diverse environments. WeRide recently launched driverless Robobus services in France and Switzerland. The Barcelona trial, approved by city authorities, will run a 2-kilometer circular route with four stops, offering passengers a firsthand look at autonomous urban transport.

XPeng is preparing to mass-produce flying cars and humanoid robots by next year. The company looks at humanoid robots as a long-term project and is considering significant investments of up to 100 billion yuan ($13.8 billion). In November, XPEV unveiled its first humanoid robot, named Iron, marking a major step into robotics. Iron boasts more than 60 joints and 200 degrees of motion, integrating AI-driven technology from XPeng’s electric vehicles.

Powered by XPeng’s proprietary Turing AI chip, a 40-core processor designed for AI-heavy applications, such as robotics, autonomous driving and flying vehicles, Iron can process AI models with 30 billion parameters. As China advances toward Level 3 humanoid robotics, where robots can operate autonomously in most situations but still require human oversight for complex scenarios, XPeng expects to bring entry-level Level 3 robots into moderate-scale commercial production by 2026.

XPEV currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Price Performance

The following table shows the price movement of some of the major EV players over a week and six months.

Image Source: Zacks Investment Research

What’s Next in the Auto Space?

Investors will keep a tab on the fourth-quarter 2024 results of Li Auto and NIO, which will be released tomorrow and Friday, respectively.

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