Li Auto (LI) reported a surprising profit in the fourth quarter before the stock market opened on Thursday, with China’s EV market still heated. Li Auto’s shares rose.
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Li Auto earnings report
Estimates: Analysts had expected a loss of 4 cents per share on revenue of $ 565.5 million.
Results: Li Auto’s earnings reached 2 cents per share. Revenue jumped 39% to $ 635.5 million. Li Auto has only one vehicle in production, the Li One SUV. It is technically a hybrid because it has a small gas engine to extend its range.
Li Auto previously reported that deliveries reached 14,464 vehicles in the fourth quarter, a 67% jump from the third quarter, when deliveries totaled 8,660. It had about 32,624 deliveries throughout the year 2020.
By comparison, Nio (NIO) sold 17,353 units in the fourth quarter and 43,728 in the year, while Xpeng (XPEV) sold 12,964 in the fourth quarter and 27,041 in the year.
Panorama: Li Auto sees first quarter revenue of $ 450.6 million to $ 493.5 million, an increase of 246% -279% over the previous year. It expects first quarter deliveries of 10,500-11,500 vehicles, an increase of 263% -297% against the first quarter of 2020. Li Auto previously reported that January deliveries rose 356% year on year to 5,379, but were below 6,126 December 2020.
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Li Auto Stock
The shares rose 1% to 28.98 in pre-market trading on the stock market today. Li Auto’s shares have seen their relative strength line plummet in recent months, according to an analysis of the MarketSmith chart. Its RS rating is 82, while its EPS rating is 56.
Wall Street is optimistic about Li Auto’s shares. Eleven of the 14 analysts who cover it have a buy rating. The average price forecast for 12 months is 40.46.
Among other Chinese EV stocks, Nio fell 1.1% and Xpeng lost 2.4% on Thursday morning. Nio also reports Monday. Tesla (TSLA) fell 3%.
Earlier this week, based in Texas Hyliion (HYLN), which makes EV power trains for commercial fleets, reported a loss of 13 cents a share in the fourth quarter.
Follow Adelia Cellini Linecker on Twitter @IBD_Adelia.
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