Overview of Overall Markets: The broader market remains volatile as companies navigate fluctuating demand and economic pressures. In the EV sector, competition and cost management are critical, influencing stock movements and investor sentiment. Li Auto (LI): Current Position and Analysis Market Performance: - Earnings Impact: On May 20, 2024, Li Auto's stock dropped 12% to USD 21.71 following a disappointing earnings report. - Financial Metrics: First-quarter net profit fell 36% year-over-year, operating expenses rose 71%, and vehicle deliveries decreased compared to the fourth quarter of 2023. - Outlook: Li Auto forecasts increased vehicle deliveries in the second quarter, aiming for 105,000 to 110,000 units, but still below market expectations. Evaluation of Existing Option Po
Plunge 18%! At What Price Would You Bottom LI?
Li Auto announced its Q1 2024 results, with net profit declining quarter-on-quarter. The financial report shows that in the first quarter of 2024, Li Auto's total revenue was 25.6 billion yuan, of which automotive sales revenue was 24.3 billion yuan, a year-on-year increase of 32.3% but a quarter-on-quarter decrease of 39.9%. ----------- At what price would you bottom Li Auto? What's your target price after the earnings plunge?
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