Shares of Chinese electric-vehicle makers surged in Hong Kong on Tuesday, driven by strong sales forecasts for March and a sharp selloff in Tesla’s stock overnight.

NIO’s shares jumped 8.7% by midday, while XPeng rose 6.2%.

Zhejiang Leapmotor Technology and Great Wall Motor climbed 4.9% and 1.65%, respectively, outperforming the Hang Seng Index, which was down 0.9%.

The rally followed robust monthly sales figures from Chinese EV makers, in stark contrast to Tesla’s struggles in the US market.

Analysts expect demand in China to remain strong throughout March, with automakers rolling out new models after the Lunar New Year holiday.

Local government incentives aimed at boosting consumption are also expected to provide additional support.

Leapmotor and XPeng lead gains

Among the biggest winners, Leapmotor’s shares surged after the company posted its first-ever quarterly profit.

It reported a net profit of 80 million yuan ($11 million) in the fourth quarter—one year ahead of schedule.

The company’s gross margin reached a record 13.3%, signaling improved efficiency and cost management.

XPeng also benefited from positive sentiment, with Citi upgrading its stock rating to “buy” from “neutral.”

Analysts at Citi cited strong February orders and the company’s increasing focus on artificial intelligence and robotics as key drivers of future growth.

The EV maker also benefitted from announcements of humanoid robots investment.

XPeng views humanoid robots as a long-term endeavour and is considering significant investments that could reach up to 100 billion yuan ($13.8 billion), according to a report by state media Securities Times on Monday, which cited the company’s CEO.

The EV maker ventured into the humanoid robotics sector in 2020 and introduced its humanoid robot, Iron, in November, positioning it as a competitor to Tesla’s Optimus.

China’s EV market is strong

Tesla shares fell 15% on Monday, marking their steepest decline in four years and erasing gains made after the US presidential election.

Investors have been rattled by weaker-than-expected sales data and concerns over CEO Elon Musk’s potential role in the Trump administration.

While Tesla struggles, China’s EV market is showing resilience.

The China Passenger Car Association (CPCA) reported that February retail sales of new-energy vehicles, including battery electric vehicles and plug-in hybrids, soared 80% year-over-year to 686,000 units.

Analysts believe this momentum will continue into March as automakers ramp up production and introduce new models to meet demand.

Tesla China sales decline

Tesla’s sales in China continued to decline in February, with the company selling 30,688 vehicles, including 3,911 exports, according to CPCA data.

The domestic market saw a drop to 26,777 units, an 11.16% decrease from the same period last year and a 20.55% decline from January.

Industry analysts attribute the weaker numbers to the Chinese New Year holiday, which disrupted production and consumer activity.

Additionally, Tesla temporarily suspended some production lines at its Shanghai plant to optimize manufacturing processes for its updated Model Y.

Tesla’s Shanghai facility remains a crucial hub for the automaker, producing the Model 3 sedan and Model Y crossover for both domestic sales and international exports.

However, growing competition from domestic EV makers is putting pressure on Tesla to maintain its market share in China.

The post NIO, XPeng, and other Chinese EV stocks surge on strong sales forecast as Tesla stumbles amid weak demand appeared first on Invezz

The cryptocurrency market continues to face sharp declines, with its total market cap dropping to $2.44 trillion on Tuesday—the lowest since early November.

A significant factor adding to investor concerns is the recent movement of Bitcoin from Mt. Gox, the defunct exchange that collapsed over a decade ago.

The platform transferred 11,833 BTC, valued at approximately $932 million, raising fresh uncertainty about the potential impact on market stability.

This development also triggered over $937 million in liquidations within 24 hours, increasing volatility across digital asset markets.

Mt. Gox moves Bitcoin reserves

Mt. Gox has once again moved a substantial portion of its Bitcoin holdings, shifting 11,834 BTC worth roughly $910 million.

Of this, 11,502 BTC (valued at around $885 million) was sent to a new wallet, while 332 BTC ($25.5 million) was transferred to a “warm” wallet used for transactions and fund management.

The movement comes just five days after the platform sent 166.5 BTC to BitGo, a digital asset custodian, suggesting an ongoing process of distributing repayments to creditors who lost funds during the exchange’s collapse.

Monday’s transfer originated from the Mt. Gox wallet “1Mo1n,” which had received $1.07 billion in Bitcoin from another exchange last week.

However, at the time, blockchain analytics platform Arkham Intelligence did not recognize “1Mo1n” as a Mt. Gox wallet, adding to speculation about the purpose of the transactions.

The latest transfers now confirm that the exchange is progressing with its long-awaited creditor repayments.

Bitcoin supply fears grow

The release of such a large volume of Bitcoin into the market has intensified concerns over potential price fluctuations.

The primary fear is that creditors, who have waited years to recover their funds, might sell their Bitcoin holdings upon receiving them.

A sudden influx of Bitcoin into circulation could drive prices lower, further exacerbating the current market downturn.

Some repayments have already been processed through exchanges like Kraken and Bitstamp, but the full distribution remains a drawn-out process.

The official repayment deadline has been extended to October 31, 2025, meaning further Bitcoin movements from Mt. Gox wallets could continue in the coming months.

At present, the exchange still holds approximately $2.8 billion worth of Bitcoin in its wallets, a figure that could significantly influence market dynamics depending on creditor actions.

Crypto liquidations surge

The crypto market reacted sharply to the latest Mt. Gox transfers, leading to widespread liquidations across multiple exchanges.

Within 24 hours of the Bitcoin movements, over $937 million worth of positions were liquidated, highlighting the heightened uncertainty among investors.

Bitcoin, already under pressure from macroeconomic concerns, saw additional selling pressure as traders anticipated increased volatility from the expected creditor repayments.

The broader implications of Mt. Gox’s ongoing repayments remain uncertain. If creditors decide to hold their recovered Bitcoin, market impact may be minimal.

However, if a substantial portion is sold, Bitcoin prices could face further downside pressure. Analysts are closely monitoring Mt. Gox’s wallets for further activity as the repayment process continues to unfold.

The post Crypto market slumps to four-month low as Mt. Gox Bitcoin moves spark fresh turmoil appeared first on Invezz

DocuSign stock price has crashed by almost 30% from its highest level this year as concerns about its growth trajectory remained. It has retreated to $77.85, its lowest level since November 19. Is DOCU a good contrarian stock to buy ahead of its earnings on March 13?

DocuSign earnings ahead

The main catalyst for the DocuSign share price is its upcoming financial results, which will provide more details about its business trajectory.

The most recent third quarter numbers showed that the company’s business was still slowing. Total revenue rose by 8% in Q3 to $754 million. 

DocuSign’s subscription revenue rose by 8% to $734 million, while its professional services rose by 11% to $20.1 million. 

Wall Street analysts expect the upcoming results to show that DocuSign’s revenue will be $761 million. This outlook is near the upper side of its revenue guidance of between $758 million and $762 million. 

The annual revenue is expected to be $2.96 billion, up by 7.25% from the previous year. It will then make $3.15 billion next year, a 6.36% annual increase, signaling that the growth trajectory has faded. 

DocuSign’s growth has come under pressure for two main reasons. First, the e-signature industry has slowed in the past few years since the COVID-19 pandemic ended. 

Second, the industry has become highly saturated, with many mainstream and smaller companies seeking market share. Big names like Adobe, Dropbox, Microsoft, Zoho, and Google are offering these solutions. 

DocuSign has sought to differentiate itself by investing in artificial intelligence (AI). It launched the Intelligent Agreement Management (IAM), which empowers companies to connect and optimize all business processes that involve agreements. 

Organizations of all sizes across all industries use IAM to help them improve the sales process, customer experience, and contract lifecycle. IAM starts at $420 a year, with the IAM Core going for $780 annually. While expensive, DocuSign hopes that companies can save up to $2 trillion. 

Read more: Here’s why DocuSign stock could benefit from Smartsheet acquisition

DOCU has a cheap valuation

DocuSign is one of the biggest companies in the SaaS industry with a market cap of over $16 billion. This valuation is much lower than the peak of $64 billion in 2021 as demand for such SaaS companies fell.

Some analysts believe that DocuSign stock price is substantially undervalued. It has a forward P/E ratio of 16, much lower than the sector median of 27. The non-GAAP PE ratio is 22.5, lower than the sector median of 22. 

This cheap valuation is mostly because analysts anticipate that the company’s growth will continue falling.

DocuSign is also cheap based on the Rule of 40 metric, which looks at a company’s growth and net income margin. Its net income margin is 34%, while its revenue growth is 10, meaning that it has a metric of 44. As such, the company is cheap, making it a good acquisition target in the future. 

DocuSign stock price analysis

The weekly chart shows that the DOCU share price peaked at $105 in December last year. This was a notable level since it was along the 23.6% Fibonacci Retracement point.

It has now pulled back, and is nearing the key support level at $69.10, the highest swing in 2023 and 2024. Therefore, the DOCU stock price will likely drop and retest the support at $69.10, and then resume the uptrend. This performance is known as a break-and-retest pattern.

The bullish view is in line with what we wrote in the DocuSign share price forecast in December. At the time, we noted that the stock may surge to $175 this year. 

The post DocuSign stock price forecast: could explode higher after earnings appeared first on Invezz

Yes, the stock market is now in free fall. 

In just over a month, the S&P 500 has plunged nearly 9%, the Nasdaq has dropped over 12%, and the Dow Jones has shed nearly 3,000 points.

This past Monday’s session alone saw the S&P 500 drop 2.7%, bringing its losses for the past two weeks to over 6%. 

Market volatility has skyrocketed, with the volatility index (VIX) swinging more than 1% in either direction on seven of the past eight trading days.

Wall Street is rattled, and so are everyday investors watching their portfolios shrink.

The reason is of course, Donald Trump’s aggressive trade policies.

His recent announcements have caused widespread economic uncertainty, and a growing sense that the administration is willing to tolerate near-term economic pain to reshape America’s financial landscape. 

Trump’s refusal to rule out a recession has only deepened market fears. 

The sudden U-turn on tariffs by first imposing them, then freezing them, then threatening more, has left businesses unable to plan.

At the same time, large-scale government layoffs and fiscal tightening have further shaken confidence.

Investors are understandably anxious. But in times of uncertainty, history and data provide clarity.

While no one can predict exactly how the next few months will unfold, there are fundamental truths about investing that remain as relevant today as they were in every past market downturn.

Here’s what investors need to remember right now.

Stock market sell-offs are part of the process

It never feels good to watch the market drop, but corrections and bear markets are part of investing. 

Historically, the S&P 500 experiences an average annual max drawdown of 14%, meaning the kind of declines we’re seeing now are well within the norm. 

Even in strong bull markets, temporary pullbacks of 5% to 10% happen regularly.

In fact, since 1928, 26% of all years have ended with negative returns, and yet the market has always recovered.

Data from JPMorgan’s Guide to the Markets shows that since 1980, the S&P 500 has ended positive in 32 of the last 42 years despite suffering large intra-year losses. 

The 2008 financial crisis wiped out over 50% of the market’s value, but those who stayed invested saw the S&P 500 rally more than 400% over the next decade. 

Even during the 2020 pandemic crash, where the market fell 34% in weeks, the recovery was swift and overwhelming.

The lesson is clear: crashes feel catastrophic in the moment, but history suggests that they are temporary setbacks in a long-term uptrend.

Short-term volatility is just noise—what matters is the long-term trajectory

It’s tempting to interpret every drop as a sign of something deeper, but markets rarely move in a straight line.

Even during strong bull runs, the stock market sees numerous pullbacks. 

The S&P 500 has historically delivered average annual returns of 8-10%, but those returns do not come in a smooth, linear fashion.

Many investors forget that even the best years for stocks often include significant drawdowns.

The average investor today has access to more financial news than ever before, but more information does not always lead to better decisions. 

The daily focus on red charts and dramatic headlines can distort perspective.

On any given day, the stock market has a 47% chance of being down.

But over long periods, it has consistently gone up. Investors who react to every dip risk losing way more than those who maintain a long-term perspective.

Do not always trust the headlines

Fear sells, and nowhere is this more evident than in financial media. 

The stock market is up more than 80% of the time, but negative news dominates the headlines.

This is because daily market moves are often arbitrary, yet journalists are forced to attach narratives to them. 

Headlines like “Stocks Plunge on Recession Fears” or “Markets Tank as Investors Flee” reinforce panic, even when the decline is within historical norms.

Even if the broader economy remains resilient, media coverage will highlight every negative data point.

Economic uncertainty, trade wars, and shifting policies create an easy backdrop for alarmist reporting. 

Investors need to recognize that most headlines are designed to generate engagement, not provide objective, long-term investment advice.

Taking a step back from the noise and focusing on actual financial data is often the best course of action.

Do not try to time the market

It may seem like a good idea to sell now and buy back when things calm down, but history shows that trying to time the market is one of the worst mistakes an investor can make. 

The biggest market gains often come immediately after the worst crashes. Missing just a handful of the best days in the market can devastate long-term returns.

Consider this: Over the past 20 years, if an investor stayed fully invested in the S&P 500, they would have earned an annualized return of roughly 7%.

But missing just the 10 best days in the market would have cut that return nearly in half. 

Many of these best days occurred when sentiment was still overwhelmingly negative, which is right after major crashes.

Selling during market turmoil means locking in losses and risking missing out on the recovery.

Zoom out

It is difficult to see beyond the chaos when markets are in free fall.

But every major crash in history has eventually given way to a recovery. 

The Great Depression, Black Monday, the dot-com bubble, the financial crisis, and the pandemic crash all seemed insurmountable at the time, yet long-term investors who held their positions ended up ahead.

Bear markets are much shorter than bull markets.

The average bear market lasts 289 days, while the average bull market runs for 991 days. 

Historically, the stock market has taken just 18 months to fully recover from a bear market’s bottom.

While no one can predict the exact timing of the next recovery, the data suggests that those who remain patient are far more likely to benefit than those who panic and sell.

The markets are in turmoil, and investors are nervous. But history teaches us that market crashes, while painful, are not permanent. 

Those who stay disciplined, avoid emotional decisions, and focus on long-term growth tend to be rewarded.

Stock market investing has always been a game of patience.

This moment is no different.

The best course of action is to simply ignore the noise, stick to your plan, and remember that every crisis eventually gives way to opportunity.

The post What every investor needs to know as the stock market sells off appeared first on Invezz

Li Auto stock price will be in the spotlight this week as the company publishes its financial results. Its American shares were trading at $27.56 on Monday, down by almost 18% from its highest level this year, and by nearly 60% from its lowest level in 2024. Its market cap has risen to almost $30 billion.

Li Auto business has been growing

Li Auto, the giant Chinese EV company, has been growing fast in the past few years, helped by the growing demand for electric vehicles in the country. Its annual revenue has jumped from $40.8 million in 2019 to over $17.4 billion last year, a 43,400% surge. 

This growth happened as the number of vehicles delivered per year jumped. It sold just 1,000 vehicles in 2019, which crossed the 500,000 level in 2024. This growth is strong considering that it sold 376,000.

Most importantly, unlike many EV companies in their growth phase, Li Auto’s business is growing profitably. Its annual profit in 2023 jumped to $1.6 billion. 

Analysts are optimistic that Li Auto’s business continued growing in the fourth quarter as the number of deliveries jumped. Its delivery numbers revealed that it shipped over 158,600 vehicles in Q4, a 20% annualized increase. This jump was lower than its guidance of between 160,000 and 170,000. 

The average estimate is that Li Auto’s revenue will be CNY 44.56 billion or $6.2 billion, a 6.7% annual increase. This figure will bring the annual revenue to 145.6 billion yuan or $20 billion. It will then grow by 31% in 2025 to over 192 billion yuan or $26 billion.

Read more: Li Auto stock price analysis: the bullish case for this Nio rival

Li is beating Tesla

Li Auto, which makes several brands like L9, L8, L7, L6, Li Mega, and Li i8, is doing better than Tesla, a company whose stock has imploded this year. Its delivery and revenue growth is doing much better because of the diverse selection of its brands and its popularity in China. 

Li Auto also has higher gross margins than Tesla, a trend that may continue as it boosts its scale. Tesla has a gross margin of 17.8%, EBITDA margin of 13.3%, and a net income margin of 7.26%. 

Li Auto has a gross margin of 21.4% and EBITDA and net income margins of 5.8% and 7.15%, respectively. These numbers mean that Li will likely pass Tesla in terms of profitability margins in the future as it boosts its scale. 

Tesla’s business is struggling, with the market anticipating a big drop in first-quarter deliveries. Its European sales have dived, and analysts anticipate that the fallout from Musk’s role in DOGE will affect its American business. 

Analysts are upbeat about the Li Auto stock price. The average estimate is that its shares will jump to $32.3, up from the current $27.56.

Read more: Li Auto stock price: here’s why this EV giant is about to surge

Li Auto stock price analysis

Li Auto share price chart by TradingView

The daily chart shows that the LI share price has been in a strong uptrend in the past few months. It has jumped from a low of $17.8 in 2024 to a high of $27.56. 

The stock has made a golden cross pattern as the 50-day and 200-day moving averages have crossed each other. This pattern is one of the most bullish patterns in the market. 

The Li Auto stock price has formed a cup and handle pattern, a popular bullish continuation sign. Therefore, the stock will likely have a bullish breakout, with the next point to watch being $35.60, the 61.8% Fibonacci Retracement point, which is about 30% above the current level. 

The post Here’s why Li Auto stock price could explode higher after earnings appeared first on Invezz