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The Chinese language maker of the Li ONE SUV delivered 6,126 autos in December. That up from 4,646 in November and up about 530% in contrast with December 2019, in accordance with the corporate.
It may be a bit onerous to get a consensus supply quantity for Li Auto (ticker: LI) and different Chinese language EV producers. A lot of the analysts are based mostly in Asia and aggregating a consensus is tough. Tesla (TSLA), as an illustration, delivered greater than 180,000 autos within the fourth quarter, which was higher than the roughly 176,000 analysts projected.
Nonetheless, the Li quantity could be very sturdy, even with out a true analyst consensus for comparability. The corporate, on its third quarter convention name, stated it anticipated to ship 11,000 to 12,000 autos within the fourth quarter. The corporate ended up delivering 14,464 within the fourth quarter, simply beating its personal preliminary projections.
NIO (NIO) delivered greater than 7,000 vehicles in December. Mixed with Tesla and Li outcomes, it seems Chinese language EV demand stays very wholesome.
(XPEV), the opposite U.S. listed Chinese language EV producer, hasn’t launched December deliveries but.
Calling the inventory worth reacting to even excellent news might be onerous generally. Li inventory dropped after reporting November deliveries. Li additionally sold more stock to boost money across the time November deliveries have been introduced.
EV shares are positively in a bull market. Tesla rose about 740% in 2020 and is now the world’s most valuable automobile firm by a large margin. Li inventory closed 2020 at $28.83, up considerably from it’s July $11.50 IPO worth.
The beneficial properties make Li, and the Chinese language EV sector as an entire, costly. Barron’s not too long ago wrote that Chinese language EV shares have been too dear for us. That article appeared in mid-December, and the Chinese language EV shares, on common, commerce about the place they did again then.
Analysts, for essentially the most half, disagree with Barron’s. Greater than 60% of analysts charge the three Chinese language EV shares—NIO, Li and XPeng—Purchase. The average Purchase ranking ratio for shares within the
Dow Jones Industrial Average
is about 57%.
For Li, about 64% of analysts masking the corporate charge share Purchase. The common analyst price target is about $37 a share.
Monday ought to be an fascinating day. Traders have Tesla’s latest Mannequin Y pricing in China to take care of. A Mannequin Y is priced below a NIO EC6 and proper across the worth of a Li ONE.
That is perhaps a priority for traders, however the supply numbers look good.
Write to Al Root at [email protected]