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Li Auto Inc. (LI)

Consumer Cyclical Out of favour

Li Auto is a Chinese carmaker that builds premium SUVs featuring clever range-extender technology to help drivers travel further without needing constant charging.

$13.63

Is Li Auto Inc. a good stock for a UK beginner?

The honest version: There's no rating here and nothing for sale. In its favour: Unique technology that bridges the gap between petrol and electric. Worth weighing: Currently operating at a net loss. Below, we lay out what it does, what its numbers mean, and the honest risks, so you can decide for yourself.

No rating · no target price · nothing for sale here
Price-29.6%
= past earnings-report date
Priced in USD - as a UK investor your £ return also moves with the pound-to-dollar exchange rate, on top of the share price itself.
52-week range-59% past year
$13.63
Low $11.65High $27.10
Where today's price sits versus its past year - context, not a signal.
If you had put $1,000 into Li Auto Inc.
$704-30%

Over about 2 years to 2026-07-31. This is the share price only; any dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.

How much has Li Auto Inc. actually fallen?

−64%

Over the last 2 years of daily prices, Li Auto Inc. fell as much as −64% from a high to a later low. Drops of this size are a normal part of owning a share - worth knowing in advance, so a dip doesn't come as a shock.

Worst peak-to-trough fall in the daily closing price over the period we hold. Past falls are not a forecast - it can fall further, or recover.

Market cap: The company's total value on the stock market - share price times the number of shares. Big = 'large-cap', small = 'small-cap'.
$13.41B
Avg volume: How many shares change hands on a typical day. Higher means it's easy to buy or exit without moving the price.
4.50M
Day range: The lowest and highest price the shares traded at during the latest day.
$13.32 – $13.65
52-week range: The lowest and highest the shares have traded over the past year - a sense of how wide the swings have been.
$11.65 – $27.10
Dividend yield: The yearly dividend as a percentage of the share price - roughly the income you'd earn from dividends alone.
0.0%
Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down.
0.55
How bumpy is it?Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down. 0.55
Calm
Wild
Steadier than most

Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.

Why has it been moving?▲ +2% past week · ▼ -59% past year

Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.

The bull case

Li Auto becomes a dominant, highly profitable household name.

The bear case

Technological shifts make their range-extender tech obsolete.

What does Li Auto Inc. do?

Li Auto designs and sells electric SUVs that use a small petrol engine to charge the battery while driving, solving the 'range anxiety' many people feel with pure electric cars. Sales of these vehicles direct to customers in China, with a focus on family-oriented features, are what bring in the cash. Much depends on whether they can turn their recent revenue dip around and move from losing money to making a consistent profit.

VQGMI
Factor profile

On our factor screen it looks strongest on value and quality, and weakest on growth.

Value: How cheap the stock looks versus profits, sales and assets (higher = cheaper). 87Quality: How profitable and financially healthy the company is (higher = stronger). 28Growth: How fast revenue and earnings are growing (higher = faster). 2Momentum: How the share price has been trending recently (higher = stronger recent run). 18Income: The dividend income on offer and how sustainable it looks (higher = more/steadier). 16
Quick checks
What's strong
  • Value screens high (87/100)
  • Unique technology that bridges the gap between petrol and electric
  • Strong focus on the premium family SUV market
  • Low valuation relative to its total sales
What to watch
  • Quality screens low (28/100)
  • Growth screens low (2/100)
  • Momentum screens low (18/100)
  • Income screens low (16/100)
  • Intense competition from other Chinese EV manufacturers

What do Li Auto Inc.'s numbers mean?

Forward P/E
12.4
This suggests investors are paying roughly £12 for every £1 of expected future annual profit, which is a way to gauge how much the market expects the company to grow.
Around the middle of the 122 Consumer Cyclical shares we cover
P/S
0.1
This compares the company's total market value to its sales, showing that the market is currently valuing the business at a very small fraction of its annual revenue.
Lower than most of the 121 Consumer Cyclical shares we cover
Net margin
-1.7%
This shows the company is currently spending slightly more than it earns, meaning it is not yet profitable on a net basis.
Lower than most of the 122 Consumer Cyclical shares we cover
Revenue growth
-11.4%
This indicates that the total money coming in from sales has shrunk compared to the same time last year.
Lower than most of the 120 Consumer Cyclical shares we cover

How much money does Li Auto Inc. make?

Revenue and profit by quarter, and how much of each sale turns into profit.

RevenueNet income
CNY 0CNY 7.56BCNY 15.12BCNY 22.68BCNY 30.25BQ1 25Q2 25Q3 25Q4 25Q1 26
Gross margin
16.0%
Net margin
-1.7%
Return on equity
-2.5%

Does Li Auto Inc. pay a dividend?

No - Li Auto Inc. doesn't currently pay a dividend, so the whole return would rest on the share price. Plenty of growing companies reinvest their profits instead of paying them out - neither approach is better or worse, they're just different.

When does Li Auto Inc. report earnings, and how did recent quarters go?

Li Auto Inc. is next scheduled to report on about 2026-08-27 - dates can move, and we don't predict results; this just tells you when to look.

Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.

Li Auto Inc.: reported versus expected earnings per share, recent quarters
ReportedExpected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number.Actual EPSvs expected
2026-05-28$-2.02$-2.26Missed -12%
2026-03-12$0.22$0.25Beat +15%
2025-11-26$0.56$-0.62Missed -212%
2025-08-28$1.42$1.03Missed -28%
2025-05-29$0.64$0.96Beat +50%
2025-03-14$2.67$3.31Beat +24%

Across the last 6 quarters here, Li Auto Inc. came in ahead of what analysts expected 3 times. One quarter is noise, not a trend.

See who else reports over the next two weeks →

Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.

More in Consumer Cyclical

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What are the scenarios for Li Auto Inc.?

An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.

$24$14$10today · $14▲ Bull · $15• Base · $14▼ Bear · $12in 1 yearILLUSTRATIVE · NOT A PREDICTION OR PRICE TARGET
Bull
+10% to +15%A sudden surge in demand for their latest SUV models.
Base
-5% to +5%Sales remain steady while the company manages its costs.
Bear
-10% to -20%Increased competition leads to further price cuts and lower sales.

What are the pros and cons of Li Auto Inc.?

3bull points
6bear points

How many points the write-up makes each way — a balance check, not a score or verdict.

The bull case3
  • Unique technology that bridges the gap between petrol and electric
  • Strong focus on the premium family SUV market
  • Low valuation relative to its total sales
The catch3
  • Currently operating at a net loss
  • Recent decline in year-over-year revenue
  • No dividend payments to reward shareholders
Key risks3
  • Intense competition from other Chinese EV manufacturers
  • Potential for further price wars hurting profit margins
  • Regulatory changes in the Chinese automotive sector
What would flip the thesis

The write-up's own warning lights — if these start happening, the case above changes.

Confidence: medium · data: USD · flags: pe, earnings_growth · Charts by TradingView Lightweight Charts™
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Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →

This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.

Figures as of 2026-08-02. Prices may be delayed and numbers can go stale - always double-check before acting.