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Li Auto Inc. Sponsored ADR (LI) Gains As Market Dips: What You Should Know

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Li Auto Inc. Sponsored ADR (LI - Free Report) closed the latest trading day at $27.67, indicating a +1.1% change from the previous session's end. This change outpaced the S&P 500's 1.22% loss on the day. At the same time, the Dow lost 1.55%, and the tech-heavy Nasdaq lost 0.35%.

Shares of the company witnessed a gain of 19.62% over the previous month, beating the performance of the Auto-Tires-Trucks sector with its loss of 15.12% and the S&P 500's loss of 2.31%.

The investment community will be closely monitoring the performance of Li Auto Inc. Sponsored ADR in its forthcoming earnings report. The company is scheduled to release its earnings on March 14, 2025.

Investors should also note any recent changes to analyst estimates for Li Auto Inc. Sponsored ADR. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical 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 shifted 21.48% downward. Currently, Li Auto Inc. Sponsored ADR is carrying a Zacks Rank of #5 (Strong Sell).

Looking at valuation, Li Auto Inc. Sponsored ADR is presently trading at a Forward P/E ratio of 19.62. This represents a premium compared to its industry's average Forward P/E of 7.28.

We can additionally observe that LI currently boasts a PEG ratio of 4.13. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Automotive - Foreign was holding an average PEG ratio of 0.91 at yesterday's closing price.

The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. Currently, this industry holds a Zacks Industry Rank of 145, positioning it in the bottom 43% of all 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.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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