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

Shares of Li Auto Inc. Sponsored ADR (NASDAQ:LI) gapped down before the market opened 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 traded.

Other equities analysts also recently issued reports about the company. Jefferies Financial Group reaffirmed a “hold” rating and issued a $17.50 price target (down from $28.80) on shares of Li Auto in a report on Friday, January 23rd. China Renaissance restated a “hold” rating and issued a $18.50 target price on shares of Li Auto in a report on Monday, December 1st. Piper Sandler increased their target price on shares of Li Auto from $18.00 to $19.00 and gave the company a “neutral” rating in a research report on Thursday, January 8th. The Goldman Sachs Group reissued a “buy” rating and issued a $27.00 price target on shares of Li Auto in a research report on Monday, December 1st. Finally, Macquarie Infrastructure set a $15.00 price objective on shares of Li Auto in a research note on Thursday, January 15th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, twelve have assigned a Hold rating and four have issued a Sell rating to the company. According to data from MarketBeat, Li Auto presently has an average rating of “Reduce” and an average target price of $19.59.

Institutional Investors Weigh In On Li Auto

A number of institutional investors and hedge funds have recently made changes to their positions in LI. Goldman Sachs Group Inc. grew its holdings in shares of Li Auto by 133.3% during the first quarter. Goldman Sachs Group Inc. now owns 2,636,156 shares of the company’s stock worth $66,431,000 after buying an additional 1,505,991 shares during the last quarter. Empowered Funds LLC purchased a new position in shares of Li Auto in the 1st quarter valued at approximately $506,000. Aberdeen Group plc grew its stake in shares of Li Auto by 246.5% in the 2nd quarter. Aberdeen Group plc now owns 27,970 shares of the company’s stock valued at $758,000 after purchasing an additional 19,898 shares during the last quarter. Vanguard Personalized Indexing Management LLC increased its holdings in shares of Li Auto by 36.0% in the second quarter. Vanguard Personalized Indexing Management LLC now owns 29,378 shares of the company’s stock valued at $796,000 after purchasing an additional 7,770 shares during the period. Finally, Arista Wealth Management LLC purchased a new stake in shares of Li Auto during the second quarter worth approximately $271,000. 9.88% of the stock is owned by hedge funds and other institutional investors.

Li Auto Price Performance

The company has a current ratio of 1.80, a quick ratio of 1.67 and a debt-to-equity ratio of 0.05. The company has a 50 day moving average price of $16.99 and a 200 day moving average price of $20.93.

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.