Li Auto (NASDAQ:LI) Stock Price Breaks Above Fifty Day Moving Average – Should You Sell?

Li Auto Inc. Sponsored ADR (NASDAQ:LI) passed above its 50 day moving average during trading on Wednesday. The stock has a 50 day moving average of $11.59 and traded as high as $11.84. Li Auto shares last traded at $11.5950, with a volume of 4,787,037 shares.

Analyst Upgrades and Downgrades

Several analysts have weighed in on LI shares. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Li Auto in a report on Wednesday, August 26th. Wall Street Zen downgraded Li Auto from a “sell” rating to a “strong sell” rating in a research report on Sunday, September 6th. Sanford C. Bernstein reissued a “market perform” rating and set a $14.50 price objective on shares of Li Auto in a report on Wednesday, August 26th. Zacks Research cut shares of Li Auto from a “hold” rating to a “strong sell” rating in a research report on Monday. Finally, Piper Sandler dropped their target price on shares of Li Auto from $15.00 to $13.00 and set a “neutral” rating for the company in a research report on Thursday, August 27th. Ten investment analysts have rated the stock with a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Li Auto has an average rating of “Reduce” and a consensus target price of $16.28.

Li Auto Price Performance

The stock has a market capitalization of $12.01 billion, a PE ratio of -17.31 and a beta of 0.40. The company has a debt-to-equity ratio of 0.11, a current ratio of 1.81 and a quick ratio of 1.65. The firm’s 50 day simple moving average is $11.59 and its 200 day simple moving average is $14.74.

Li Auto (NASDAQ:LI) last announced its quarterly earnings data on Friday, July 31st. The company reported ($0.22) earnings per share (EPS) for the quarter. Li Auto had a negative net margin of 4.44% and a negative return on equity of 6.58%. The business had revenue of $3.78 billion during the quarter. As a group, equities analysts forecast that Li Auto Inc. Sponsored ADR will post -0.72 EPS for the current fiscal year.

Institutional Trading of Li Auto

Hedge funds have recently added to or reduced their stakes in the business. Allspring Global Investments Holdings LLC purchased a new stake in Li Auto during the third quarter valued at about $116,000. Mizuho Securities Co. Ltd. bought a new position in shares of Li Auto during the third quarter valued at about $45,000. Ethic Inc. grew its stake in shares of Li Auto by 135.8% during the third quarter. Ethic Inc. now owns 66,572 shares of the company’s stock valued at $756,000 after buying an additional 38,336 shares during the last quarter. Parallel Advisors LLC increased its holdings in shares of Li Auto by 39.3% in the third quarter. Parallel Advisors LLC now owns 5,945 shares of the company’s stock worth $68,000 after buying an additional 1,677 shares during the period. Finally, Greenleaf Trust purchased a new position in shares of Li Auto in the third quarter worth about $186,000. 9.88% of the stock is owned by institutional investors.

About Li Auto

Li Auto Inc is a Chinese automaker that designs, develops, manufactures and sells new energy vehicles. The company focuses on smart electric vehicles, including extended-range electric vehicles that combine a battery-powered drivetrain with an onboard engine generator, as well as battery-electric vehicles.

Its product lineup has included the Li ONE and the L-series range-extended electric SUVs, such as the Li L6, Li L7, Li L8 and Li L9. The company has also developed the Li MEGA, a battery-electric multi-purpose vehicle.