Li Auto Inc. (NASDAQ: LI) stock fell -0.89% on Tuesday to $23.36 against a previous-day closing price of $23.57. With 3.81 million shares changed hands, the volume of the stock remained lighter than its average volume of 12.61 million shares. During the session, the Auto Manufacturers company that operates in wider Consumer Cyclical sector, reached to the highest price of $23.80 whereas the lowest price it dropped to was $23.15. The 52-week range on LI shows that it touched its highest point at $41.49 and its lowest point at $12.52 during that stretch. It currently has a 1-year price target of $34.41.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of LI was up-trending over the past week, with a rise of 6.86%, but this was up by 12.31% over a month. Three-month performance surged to 31.46% while six-month performance fell -32.49%. The stock lost -16.27% in the past year, while it has gained 14.51% so far this year. A look at the trailing 12-month EPS for LI yields -0.30 with Next year EPS estimates of 0.15. For the next quarter, that number is 0.02. This implies an EPS growth rate of 61.10% for this year and 188.20% for next year.
Float and Shares Shorts:
At present, 975.03 million LI shares are outstanding with a float of 864.07 million shares on hand for trading. On Oct 13, 2022, short shares totaled 35.8 million, which was 3.67% higher than short shares on Sep 14, 2022. In addition to Mr. Xiang Li as the firm’s Exec. Chairman & CEO, Mr. Yanan Shen serves as its Pres & Exec. Director.
Through their ownership of 27.34% of LI’s outstanding shares, institutional investors have minority control over the company. Other institutions hold 6.74% of LI, in contrast to 18.17% held by mutual funds. Shares owned by individuals account for –. As the largest shareholder in LI with 1.99% of the stake, Tiger Global Management LLC holds 17,211,345 shares worth 17,211,345. A second-largest stockholder of LI, BlackRock Fund Advisors, holds 16,319,036 shares, controlling over 1.89% of the firm’s shares. The Vanguard Group, Inc. is the third largest shareholder in LI, holding 15,112,153 shares or 1.75% stake. With a 0.81% stake in LI, the Vanguard Emerging Markets Stock I is the largest stakeholder. A total of 7,021,296 shares are owned by the mutual fund manager. The Vanguard Total International Stoc, which owns about 0.79% of LI stock, is the second-largest Mutual Fund holder. It holds 6,825,766 shares valued at 139.25 million. Fidelity Inv. Trust – Emerging Ma holds 0.78% of the stake in LI, owning 6,700,104 shares worth 136.68 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for LI since 35 analysts follow the stock currently. There are 27 analysts who recommend BUY ratings, while 0 suggest SELL ratings. Of the remaining analysts, 2 believe that the stock is worth HOLDING, 6 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With LI analysts setting a high price target of $404.29 and a low target of $95.08, the average target price over the next 12 months is $199.56. Based on these targets, LI could surge 1630.69% to reach the target high and rise by 307.02% to reach the target low. Reaching the average price target will result in a growth of 754.28% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. LI will report FY 2022 earnings on 02/23/2024. Analysts have provided yearly estimates in a range of $0.20 being high and -$3.52 being low. For LI, this leads to a yearly average estimate of -$0.95. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Li Auto Inc. surprised analysts by $0.02 when it reported -$0.09 EPS against a consensus estimate of -$0.11. The surprise factor in the prior quarter was -$0.01. Based on analyst estimates, the high estimate for the next quarter is $0.73 and the low estimate is -$1.42. The average estimate for the next quarter is thus $0.21.