Chinese EV giant Xpeng (NYSE:XPEV) recently reported its record June and second-quarter deliveries. It continues to be a dominant name in the EV industry, and with several catalysts in place, XPEV stock will continue creating more shareholder value. With incredible year-over-year revenue growth, the stock still trades at a considerable discount to its peers.

XPEV stock has gained an incredible 38% in June along with the rest of the EV market. Despite the global semiconductor shortage, EV stocks have been rallying of late.

Moreover, the Chinese automaker is riding high thanks to its strong vehicle delivery numbers. XPEV stock has gained a spectacular 85% in the past 12 months and will continue its bullish run for the foreseeable future. Though its growth-dependent valuation leaves it vulnerable to volatile swings, Xpeng has established itself as a juggernaut in the Chinese automotive industry.

Incredible Delivery Update

XPeng released its blow-out Jun deliveries report, where it recorded its highest-ever monthly deliveries in June. The company delivered 6,565 Smart EVs in the month, representing a massive growth of 617% on a year-over-year basis. In the second quarter, it delivered 17,398 vehicles, growing 459% on a year-over-year basis. Moreover, it has plans to launch its G3i SUV in July this year, targeting September for delivery. Additionally, a third model called the P5 is slated to be launched in the third quarter.

From the update, it appears that the global semiconductor shortage is finally receding. Nio also issued an update stating that the crisis won’t impact its ability to deliver between 21,000 and 22,000 vehicles in the second quarter.

Xpeng reported June sales of the P7 smart sedan reached a record high since its debut last year. It made up more than 70% of the deliveries for the month. The management states that “The P7’s Navigation Guided Pilot (NGP) highway solutions are attracting wide customer appeal, reinforcing the company’s commitment to technology innovation.”

Multiple Growth Catalysts for XPEV Stock

XPeng has multiple catalysts, which currently puts it in a paramount position in the Chinese EV market. One of the key elements helping it separate itself from the pack is its omnichannel distribution model. Its goal is to sell its cars to as many people as possible through its online and offline sales channels. It currently operates in 70 major Chinese cities and plans to expand its dealership network by 300 stores by the conclusion of 2021.

It’s building its second manufacturing plant in Guangzhou in April and will be building its third one in Wuhan. Once they are complete, their annual capacity will reach more than 300,000 cars.

Additionally, it is one of the leading developers of autonomous software for automobiles in the domestic market. It launched its robust navigation-guided pilot software earlier this year, which has seen its user mileage grow by 1.4 million miles. The launch has been smooth so far so far, suggesting that the company has a solid foundation to continue developing its software. Its ultimate goal is to reach level 5 autonomy (requiring no attention from a driver) with its AV technology.

Bottom Line On XPEV Stock

XPEV stock is on the move after its stellar June deliveries. Revenue growth has been exceptional for the company, and with multiple growth drivers, it continues to create more upside for its investors. It can now push forward even harder, as the EV sector appears to be getting past the semiconductor shortage. Despite its marvelous performance and eye-catching financials, XPEV stock is still reasonably priced.

On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.