Latest news with #LiAuto
Yahoo
12 hours ago
- Automotive
- Yahoo
Will the ONVO L90's Fast Market Entry Boost NIO's Competitive Edge?
NIO Inc.'s NIO sub-brand ONVO, which focuses on the family vehicle segment, started offering test drives for its upcoming L90 flagship electric SUV in China on Wednesday. Nearly 600 L90 units became available for test drives at more than 400 Onvo showrooms across 140 has officially announced that the L90 will launch on July 31. This is the first time the company has disclosed a specific date. Pre-sales for the large all-electric SUV began on July 10, 2025, and the deliveries would start on Aug. 1, L90 is set to be one of the fastest-to-market models in NIO's lineup. The pre-sale price of L90 starts at RMB 279,900 with an 85-kWh battery. Under the Battery-as-a-Service rental option, the starting price is reduced to RMB 193,900. It is expected that the price may drop further upon official launch, a common practice in China's EV positioned as a value offering, the L90 comes equipped with high-end features such as 900V fast charging, an AR head-up display, adjustable air suspension, a built-in smart refrigerator and Level 2+ driver assistance systems powered by Nvidia's Orin-X chip. To keep costs down without compromising on quality, NIO leveraged existing platforms and powertrains in the L90's design. NIO carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Recent Launches by NIO's Competitors Li Auto Inc. LI will unveil its electric SUV, the Li i8, on July 29. Li Auto started pre-sales for the model on July 17 with a starting price estimated between RMB 350,000 and RMB 400,000. With support for 5C fast charging, the vehicle significantly reduces downtime at charging stations. Although slightly more compact than NIO's ONVO L90, the i8 surpasses it in both battery capacity and Inc. XPEV officially launched the G7 earlier this month, its first all-new model of the year, at a competitive starting price of RMB 195,800. This represents a reduction from the initial pre-sale price of RMB 235,800 announced on June 11. XPeng G7 is offered in three configurations. The G7 is the first model to feature XPeng's proprietary Turing AI smart driving chip, which delivers up to 2,250 TOPS of computing power, the highest among electric vehicles currently on the market for intelligent driving systems. NIO's Price Performance, Valuation and Estimates NIO has outperformed the Zacks Automotive-Domestic industry year to date. NIO shares have gained 14.9% against the industry's decline of 7.2%. YTD Price Performance Image Source: Zacks Investment Research From a valuation perspective, NIO appears overvalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 0.66, higher than its industry's 0.45. Image Source: Zacks Investment Research EPS Estimates Revision The Zacks Consensus Estimate for 2025 EPS has moved up 16 cents in the past 60 days. The Zacks Consensus Estimate for 2026 EPS has moved down a penny in the past 30 days. Image Source: Zacks Investment Research Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NIO Inc. (NIO) : Free Stock Analysis Report Li Auto Inc. Sponsored ADR (LI) : Free Stock Analysis Report XPeng Inc. Sponsored ADR (XPEV) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
South China Morning Post
2 days ago
- Business
- South China Morning Post
Hong Kong stocks waver as investors wait for policy clarity from China's Politburo meeting
Hong Kong stocks fluctuated between gains and losses on Tuesday as investors awaited a high-level government meeting in China that may set the policy tone for the second half. The Hang Seng Index rose 0.1 per cent to 24,996.73 as of 10.07am local time. The Hang Seng Tech Index was little changed. On the mainland, the CSI 300 Index and the Shanghai Composite Index both slipped 0.1 per cent. Hansoh Pharmaceutical Group gained 3.5 per cent to HK$37.15, and Kuaishou Technology rallied 3.2 per cent to HK$73.80. On the downside, New Oriental Education and Technology slid 3.9 per cent to HK$37.15, and Li Auto retreated 2.3 per cent to HK$120. Investors are waiting for fresh catalysts that can extend the run-up that drove the Hang Seng Index to the highest level in more than three years. Eyes will be on a Politburo meeting later this month convened by President Xi Jinping, which will offer more insights into how the government will steer the world's second-largest economy amid tariff strife and the struggling property market. Expectations are rife that policymakers at the conference will reiterate the case for cutting unneeded capacity in emerging industries including solar panels, electric vehicles and lithium batteries.
Yahoo
3 days ago
- Automotive
- Yahoo
Li Auto (LI) Announces June 2025 Delivery Update
Li Auto Inc. (NASDAQ:LI) is one of the Best Performing EV Stocks So Far in 2025. Li Auto Inc. The company announced that it delivered 36,279 vehicles in June 2025, resulting in the second-quarter deliveries of 111,074. As of June 30, 2025, Li Auto Inc. (NASDAQ:LI)'s cumulative deliveries touched 1,337,810. Furthermore, the company announced that the recently launched Li MEGA Home significantly surpassed the sales expectations, which made Li MEGA the top seller among MPVs that are priced above RMB500,000, irrespective of the power source. The company has maintained its position as China's best-selling domestic automotive brand in the RMB200,000 and above mid-to-high-end market for 2 consecutive years. A fleet of electric light vehicles recharging their batteries in a parking lot. Morningstar highlighted that Li Auto Inc. (NASDAQ:LI) focused on its range-extension powertrain, which has become a key selling point for the company's value-for-money vehicles. As it utilises less battery, plug-in hybrid electric vehicles provide significant price advantages as compared to BEVs. Despite product iterations, Li Auto Inc. (NASDAQ:LI)'s gross margin was healthy at 20.5%, and net income touched RMB646.6 million in Q1 2025, up 9.4% YoY, due to its disciplined cost management and growing economies of scale. While we acknowledge the potential of LI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 13 Cheap AI Stocks to Buy According to Analysts and 11 Unstoppable Growth Stocks to Invest in Now Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
3 days ago
- Automotive
Chinese investors snap up stocks on hopes for an end to price wars and overcapacity
BEIJING -- China's stock market is buzzing over government promises to tackle price wars that have hurt profits and worsened global trade tensions. The prevailing catchphrase is 'anti-involution,' and it reflects efforts to curb intense competition and overcapacity in industries like solar panels, steel, and electric vehicles. With rising trade barriers such as President Donald Trump's higher tariffs, and relatively weak domestic demand, manufacturers have been slashing prices, undermining their bottom lines and driving some out of business. The producer price index, which measures the price that factories receive for their goods, has fallen steadily for nearly three years in China in a prolonged bout of deflation. The long-running issue spilled over into global markets as low-priced Chinese exports worsen trade friction with key trading partners including the United States and Europe. In a series of recent statements, the Chinese government and industry associations have signaled they're getting serious about reining in cut-throat competition, known as invollution or 'neijuan' in Chinese. The top 10 makers of glass for solar panels agreed on June 30 to shut kilns and cut production by 30%, an industry association said. The government has launched an auto safety inspection campaign, addressing concerns that automakers were skimping on quality to cut costs. It's unclear whether these efforts will succeed, but the sense that China may finally be tackling this chronic problem was enough to spark a rally in stocks in some of those under-pressure sectors. Shares of Liuzhou Iron & Steel Co. gained 10% on Friday and have risen more than 70% since June 30. Solar panel glass producer Changzhou Almaden Co. fell at the end of last week but is still up about 50%. More broadly, two exchange traded funds in solar panels and steel have risen about 10%, outpacing a 3.2% rise in the Shanghai Composite, China's leading market index. The performance of EV-maker stocks has been mixed, with Li Auto and Nio recording double-digit percentage gains while market leader BYD declined. Foreigners can't buy Chinese stocks directly but they are able to invest in about 2,700 stocks and 250 exchange traded funds through the Hong Kong exchange. The gains follow high-level government pronouncements against disorderly price wars. On June 29, the People's Daily newspaper, the mouthpiece of the ruling Communist Party, ran a lengthy page 1 article on involution, saying they run counter to the party's goal of high quality economic development. Chinese leader Xi Jinping weighed in at a closed-door economic meeting, calling for better regulating competition and incentives by local governments to attract factory investments that are blamed for overinvestment in affected industries. The tougher talk began with a focus on automakers in late May, specifically around electric vehicle price wars that began more than three years ago. Analysts at investment bank UBS said the shift is good news for auto industry profits and company stocks. 'Though it's difficult to imagine a sudden U-turn of the industry from fierce competition to orderly consolidation, it's indeed possible to have near-term ceasefire of the price war,' they wrote. After BYD launched another round of price cuts on May 23, some competitors, the main industry association and government all called for fair and sustainable competition. The EV battery industry, the cement association and major construction companies have issued statements echoing calls for an end to excess competition. The term involution, which suggests a spiraling inward and shrinking, was initially applied in China to students and young workers, who felt they were caught up in meaningless competition that led nowhere as the job market weakened and wages stagnated in recent years. At the industry level, it has come to mean sectors that have too many companies competing for a slice of the pie, leading to fierce price cutting to try to gain market share. The mismatch between production capacity — how much an industry can make — and actual demand for the product, reflects overcapacity that forces companies to compete for survival in a limited market space, said a recent article in the Communist Party magazine Qiushi. Some Chinese industries, especially steel and cement, have long suffered from overcapacity. A government push to promote green industries has fostered similar problems in that sector, including solar panels, wind turbines and electric vehicles. A flood of Chinese exports is leading to more trade barriers in Europe and the U.S. and in some emerging markets such as Mexico, Indonesia and India. Ultimately, economists say industries need to consolidate through company mergers and bankruptcies. But the process will take time. A major obstacle is provincial governments that want to protect local companies and jobs. Alicia García-Herrero, the chief economist for Asia-Pacific at the Natixis investment bank, said that recent comments by top Chinese economic officials suggest they realize something needs to be done. 'How much is action versus words, I don't know,' she said. 'But I do think it's a big problem for China.'
Yahoo
4 days ago
- Automotive
- Yahoo
Why the Market Dipped But Li Auto Inc. Sponsored ADR (LI) Gained Today
In the latest close session, Li Auto Inc. Sponsored ADR (LI) was up +1.4% at $31.80. The stock's change was more than the S&P 500's daily loss of 0.01%. Meanwhile, the Dow lost 0.32%, and the Nasdaq, a tech-heavy index, added 0.05%. The company's shares have seen an increase of 18.7% over the last month, surpassing the Auto-Tires-Trucks sector's gain of 3.5% and the S&P 500's gain of 5.37%. Investors will be eagerly watching for the performance of Li Auto Inc. Sponsored ADR in its upcoming earnings disclosure. For the full year, the Zacks Consensus Estimates are projecting earnings of $1.29 per share and revenue of $22 billion, which would represent changes of -6.52% and +9.54%, respectively, from the prior year. It's also important for investors to be aware of any recent modifications to analyst estimates for Li Auto Inc Sponsored ADR. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability. Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system. The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.31% lower. Currently, Li Auto Inc. Sponsored ADR is carrying a Zacks Rank of #3 (Hold). Valuation is also important, so investors should note that Li Auto Inc. Sponsored ADR has a Forward P/E ratio of 24.27 right now. This signifies a premium in comparison to the average Forward P/E of 9.75 for its industry. It is also worth noting that LI currently has a PEG ratio of 1.27. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Foreign industry had an average PEG ratio of 1.06 as trading concluded yesterday. The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. At present, this industry carries a Zacks Industry Rank of 228, placing it within the bottom 8% of over 250 industries. The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Remember to apply to follow these and more stock-moving metrics during the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Li Auto Inc. Sponsored ADR (LI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
