Li Auto Inc. Sponsored ADR (LI) ended the recent trading session at $27.66, demonstrating a +1.69% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a loss of 0.33% for the day. Meanwhile, the Dow lost 0.63%, and the Nasdaq, a tech-heavy index, lost 0.22%.
Coming into today, shares of the company had lost 5.78% in the past month. In that same time, the Auto-Tires-Trucks sector lost 2.18%, while the S&P 500 gained 4.07%.
The upcoming earnings release of Li Auto Inc. Sponsored ADR will be of great interest to investors.
LI's full-year Zacks Consensus Estimates are calling for earnings of $1.3 per share and revenue of $22.08 billion. These results would represent year-over-year changes of -5.8% and +9.96%, respectively.
Any recent changes to analyst estimates for Li Auto Inc. Sponsored ADR should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. At present, Li Auto Inc. Sponsored ADR boasts 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 20.99 right now. This denotes a premium relative to the industry average Forward P/E of 10.04.
It's also important to note that LI currently trades at a PEG ratio of 1.1. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The average PEG ratio for the Automotive - Foreign industry stood at 1.08 at the close of the market yesterday.
The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This industry, currently bearing a Zacks Industry Rank of 239, finds itself in the bottom 4% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within 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 follow all of these stock-moving metrics, and many more, on Zacks.com.
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Li Auto Inc. Sponsored ADR (LI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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