Li Auto (NASDAQ:LI) Shares Gap Down Following Analyst Downgrade

Li Auto Inc. Sponsored ADR (NASDAQ:LI) gapped down prior to trading on Monday after JPMorgan Chase & Co. downgraded the stock from a neutral rating to an underweight rating. The stock had previously closed at $18.97, but opened at $18.23. JPMorgan Chase & Co. now has a $14.00 price target on the stock. Li Auto shares last traded at $18.3550, with a volume of 1,537,883 shares trading hands.

LI has been the topic of several other research reports. HSBC lowered Li Auto from a “strong-buy” rating to a “hold” rating in a research note on Thursday, December 4th. China Renaissance reissued a “hold” rating and issued a $18.50 price objective on shares of Li Auto in a report on Monday, December 1st. Piper Sandler increased their price target on Li Auto from $18.00 to $19.00 and gave the company a “neutral” rating in a research note on Thursday, January 8th. Barclays lowered their price objective on shares of Li Auto from $24.00 to $18.00 and set an “equal weight” rating for the company in a research note on Monday, December 1st. Finally, Citigroup dropped their target price on Li Auto from $20.20 to $18.50 and set a “neutral” rating on the stock in a report on Thursday, January 15th. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, twelve have issued a Hold rating and four have given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and an average target price of $19.59.

Institutional Trading of Li Auto

Hedge funds and other institutional investors have recently bought and sold shares of the business. Goldman Sachs Group Inc. boosted its position in Li Auto by 133.3% during the first quarter. Goldman Sachs Group Inc. now owns 2,636,156 shares of the company’s stock valued at $66,431,000 after purchasing an additional 1,505,991 shares in the last quarter. Empowered Funds LLC acquired a new position in shares of Li Auto during the 1st quarter valued at about $506,000. Aberdeen Group plc increased its position in shares of Li Auto by 246.5% during the 2nd quarter. Aberdeen Group plc now owns 27,970 shares of the company’s stock worth $758,000 after purchasing an additional 19,898 shares during the last quarter. Vanguard Personalized Indexing Management LLC grew its position in Li Auto by 36.0% in the 2nd quarter. Vanguard Personalized Indexing Management LLC now owns 29,378 shares of the company’s stock valued at $796,000 after acquiring an additional 7,770 shares in the last quarter. Finally, Arista Wealth Management LLC acquired a new stake in Li Auto in the second quarter valued at approximately $271,000. Hedge funds and other institutional investors own 9.88% of the company’s stock.

Li Auto Price Performance

The stock has a 50-day moving average price of $16.99 and a 200 day moving average price of $21.01. The company has a debt-to-equity ratio of 0.05, a current ratio of 1.80 and a quick ratio of 1.67. The firm has a market cap of $19.21 billion, a price-to-earnings ratio of 31.64 and a beta of 0.58.

About Li Auto

Li Auto Inc is a Chinese automotive company that develops, manufactures and sells smart electric vehicles, with an early focus on range-extended electric SUVs designed for family use. The company is headquartered in China and serves the domestic market through a combination of online channels and a network of retail/showroom locations. Li Auto was founded to address range-anxiety in electric vehicle buyers by integrating a small internal-combustion engine as a range extender alongside a large battery, enabling longer driving range while retaining electric driving characteristics.

The company’s product lineup centers on multi‑occupant SUVs that combine electric propulsion, advanced in‑vehicle connectivity and driver‑assistance features.