Li Auto Inc. (NASDAQ: LI) stock fell -2.39% on Monday to $39.68 against a previous-day closing price of $40.65. With 5.58 million shares changed hands, the volume of the stock remained lighter than its average volume of 6.61 million shares. During the session, the Auto Manufacturers company that operates in wider Consumer Cyclical sector, reached to the highest price of $39.88 whereas the lowest price it dropped to was $38.85. The 52-week range on LI shows that it touched its highest point at $47.33 and its lowest point at $12.52 during that stretch. It currently has a 1-year price target of $53.09. Beta for the stock currently stands at 0.85.
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 0.30%, but this was down by -2.79% over a month. Three-month performance surged to 15.32% while six-month performance rose 75.65%. The stock gained 53.74% in the past year, while it has gained 94.51% so far this year. A look at the trailing 12-month EPS for LI yields 0.23 with Next year EPS estimates of 1.30. For the next quarter, that number is 0.30. This implies an EPS growth rate of -497.60% for this year and 85.70% for next year.
Float and Shares Shorts:
At present, 980.69 million LI shares are outstanding with a float of 881.51 million shares on hand for trading. On Aug 30, 2023, short shares totaled 31.71 million, which was 3.17% higher than short shares on Jul 30, 2023. In addition to Mr. Xiang Li as the firm’s Founder, Exec. Chairman & CEO, Mr. Donghui Ma serves as its Pres & Exec. Director.
Other institutions hold 6.35% of LI, in contrast to 3.46% held by mutual funds. Shares owned by individuals account for –. As the largest shareholder in LI with 0.86% of the stake, Renaissance Technologies LLC holds 7,598,400 shares worth 7,598,400. A second-largest stockholder of LI, Fidelity Management & Research Co, holds 7,356,642 shares, controlling over 0.84% of the firm’s shares. Norges Bank Investment Management is the third largest shareholder in LI, holding 6,233,104 shares or 0.71% stake. With a 0.78% stake in LI, the Government Pension Fund – Global is the largest stakeholder. A total of 6,860,157 shares are owned by the mutual fund manager. The Fidelity Inv. Trust – Emerging Ma, which owns about 0.47% of LI stock, is the second-largest Mutual Fund holder. It holds 4,126,503 shares valued at 171.87 million. T Rowe Price Emerging Markets Sto holds 0.23% of the stake in LI, owning 2,035,485 shares worth 84.78 million.
An Overview of Recent Financials:
Understanding a company as a customer does not mean you will understand it as an investor. The wise investor uses quantitative research to analyze metrics such as revenue, net income, and earnings. In its fiscal quarter reported on Jun 29, 2023, LI reported revenue of $8.73B and operating income of -$978.46M. The EBITDA in the recently reported quarter was -$420.50M and diluted EPS was -$0.64.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for LI since 0 analysts follow the stock currently. 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 $527.22 and a low target of $255.02, the average target price over the next 12 months is $397.72. Based on these targets, LI could surge 1228.68% to reach the target high and rise by 542.69% to reach the target low. Reaching the average price target will result in a growth of 902.32% 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.