Li Auto (NASDAQ:LI) ticked higher in pre-market trading after its vehicle deliveries soared by 46.7% year-over-year to 47,774 vehicles in June.
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Furthermore, its cumulative deliveries reached 822,345 vehicles, topping China’s emerging new energy auto brands. At the end of the second quarter, LI delivered 108,581 vehicles, an increase of 25.5% year-over-year. This meets the company’s prior forecast of vehicle deliveries between 105,000 and 110,000 vehicles in the second quarter, reflecting year-over-year growth of 21.3% to 27.1%.
Li Auto’s Q2 Surge and Future Plans
In June, the company’s vehicle deliveries included 20,000 Li L6 vehicles. The company’s management stated that in the second quarter, Li Auto became the top Chinese brand in the new energy vehicle market for vehicles priced above RMB200,000. China defines NEV vehicles as vehicles powered fully or predominantly by electric energy.
In early July, the Chinese EV major will roll out its next-generation autonomous driving (NOA) system for all Li AD Max users nationwide. As of June 30, the company had 497 retail stores in 148 cities, 421 service centers and authorized shops in 220 cities, and 614 supercharging stations with 2,726 stalls across China.
Li’s robust Q2 deliveries may help LI stock bounce back after the company’s dismal Q1 results and the delay in launching the company’s three new all-electric SUVs into 2025. Year-to-date, LI has declined by more than 50%.
What Is the Forecast for LI Stock?
Analysts remain bullish about LI stock, with a Strong Buy consensus rating based on 11 Buys and two Holds. The average LI price target of $34.72 implies an upside potential of 94.2% from current levels.
