China-based electric vehicles (EV) manufacturer Li Auto (LI) announced that it delivered 9,433 Li ONEs in August 2021, marking 248% year-over-year and 9.8% sequential growth. The company said it was the highest-ever number of deliveries made in a month.
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Shares of the company gained about 1% in Wednesday’s pre-market trade.
The company said, “Total deliveries in the first eight months of 2021 and cumulative deliveries of Li ONEs reached 48,176 and 81,773, respectively.” (See Li Auto stock charts on TipRanks)
Earlier this week, Li Auto reported adjusted net loss per ADS of RMB0.07 ($0.01), wider than analysts’ expectations of a loss of RMB0.04. Its revenues, however, stood at RMB5.04 billion ($780.4 million), surpassing the Street’s expectations of RMB4.41 billion ($680 million).
Following the earnings release, Needham analyst Vincent Yu assigned a Buy rating to Li Auto with a price target of $37 (upside potential of 19.9%).
The analyst noted, “The 2021 Li One enjoyed strong consumer demand after launch, but its delivery growth has been limited by an industry-wide shortage of chips due to Covid, and Li has no visibility as to when it will improve. That said, Li’s scheduled capacity ramp, offline store expansion, fast-charging network development, and 2022-2023 EREV/BEV model rollouts are all on track.”
Overall, the Street is bullish on the stock with a Strong Buy consensus rating based on 6 unanimous Buys. The average Li Auto price target of $45.50 implies upside potential of about 47.4% from current levels.
TipRanks data shows that financial blogger opinions are 100% Bullish on LI, compared to the sector average of 72%.
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