According to a filing submitted to the U.S. Securities and Exchange Commission (SEC) on November 13, 2025, Arrowpoint Investment Partners (Singapore) has completely liquidated its holdings in XPeng Inc. (ticker symbol: XPEV), selling all 500,000 shares it previously owned. This transaction is estimated to represent a value shift of $8.94 million based on quarterly average share prices. Post-sale, Arrowpoint holds no shares in XPeng.
Arrowpoint's prior investment in XPeng accounted for 8% of its assets under management as of the last quarter. With the divestment, XPeng now constitutes 0% of the fund's portfolio. The move corresponds with Arrowpoint's broader portfolio distribution where its largest equity stakes are spread across multiple securities: NYSE:AEG holding $15.4 million (15.4% of AUM), followed by holdings in NASDAQ-traded stocks including SATS ($3.77 million, 3.8% of AUM), VCSH ($3.4 million, 3.4%), ALAB ($3.4 million, 3.4%), and ATAT ($2.7 million, 2.7%).
Closing prices for XPeng shares on December 29, 2025, stood at $20.50, marking an impressive 62% increase over the preceding twelve months. This appreciation outpaced the broader S&P 500 index over the same period. XPeng, a Chinese electric vehicle (EV) manufacturer, operates with a market capitalization of about $19.6 billion and has recorded trailing twelve-month revenues of $10.04 billion.
The company’s product offerings include smart electric vehicles in various segments such as SUVs (models G3 and G3i), sport sedans (model P7), and family sedans (model P5). Beyond vehicle sales, XPeng provides ancillary services including maintenance, supercharging infrastructure, leasing options, insurance, and digital subscriptions. These offerings are anchored by proprietary technology and an integrated ecosystem of services designed to enhance customer experience and loyalty. XPeng primarily targets consumers in China who seek technologically sophisticated and environmentally conscious transportation solutions.
XPeng distinguishes itself within the competitive Chinese EV market by leveraging internally developed technology and maintaining a commitment to innovation, aiming to capture demand in both premium and mid-market automotive segments. Recent performance underlines this strategy’s efficacy; through November 2025, XPeng's vehicle deliveries surged 156% year-over-year. An integral component of this growth has been an aggressive expansion of exports, which nearly doubled and now represent approximately 10% of the company’s total vehicle deliveries.
The electric vehicle landscape has seen intensifying competition during 2025, with numerous China-based manufacturers scaling production and sales domestically and internationally. XPeng's shares experienced a peak close to $25 in the third quarter of 2025, reflecting a year-to-date gain exceeding 100% at that time. While the exact timing of Arrowpoint’s share sale within the quarter is unspecified in the SEC filing, the fund may have opted to capture gains by exiting near these elevated valuations.
It is important to recognize that selling a prominent stake does not inherently indicate a loss of confidence in XPeng's business fundamentals or growth prospects. Instead, it may reflect a prudent strategic decision aligned with Arrowpoint’s portfolio management objectives and risk considerations amid the evolving competitive dynamics of the global EV market, where growth rates are moderating and selecting winning companies presents increasing complexity.
Overall, Arrowpoint Investment Partners’ shift away from XPeng aligns with its diversified approach to equity investment, which involves periodic rebalancing to optimize risk-adjusted returns. This complete exit from XPeng follows a period in which the company has achieved notable advancements and market share growth in a promising sector.
Key Points
- Arrowpoint Investment Partners sold its entire 500,000-share position in XPeng, valued near $8.94 million, reducing XPeng from 8% to 0% of the fund’s AUM.
- XPeng stock has shown robust performance with a 62% one-year price increase, supported by a 156% rise in vehicle deliveries driven by both domestic and export growth.
- The electric vehicle market has become increasingly competitive globally, with China-based EV makers expanding production and sales, creating challenges for portfolio positioning.
Risks and Uncertainties
- The SEC filings do not clarify the precise timing of Arrowpoint’s divestment within the quarter, limiting insight into the investment timing relative to share price volatility.
- Increasing intensity of competition within the EV sector, especially among Chinese manufacturers, may heighten difficulty in differentiating sustained winners and losers going forward.
- The implied strategic motivation behind the XPeng sale remains unconfirmed, as portfolio rebalancing does not necessarily reflect changes in the underlying investment thesis or company fundamentals.
Disclosure
This article does not provide investment advice and does not reflect any endorsement or criticism of Arrowpoint Investment Partners’ or XPeng Inc.’s securities. Investors should conduct independent research and consider their investment objectives before making decisions.