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Li Auto Inc. Sponsored ADR (LI) Dips More Than Broader Markets: What You Should Know

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Li Auto Inc. Sponsored ADR (LI - Free Report) closed the most recent trading day at $37, moving -0.96% from the previous trading session. This change lagged the S&P 500's daily loss of 0.1%. At the same time, the Dow added 0.33%, and the tech-heavy Nasdaq lost 5.8%.

Coming into today, shares of the company had gained 8.42% in the past month. In that same time, the Auto-Tires-Trucks sector gained 21.64%, while the S&P 500 gained 3.39%.

Li Auto Inc. Sponsored ADR will be looking to display strength as it nears its next earnings release.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.25 per share and revenue of $15.44 billion, which would represent changes of +2400% and +131.04%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Li Auto Inc. Sponsored ADR. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Li Auto Inc. Sponsored ADR is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that Li Auto Inc. Sponsored ADR has a Forward P/E ratio of 149.44 right now. This valuation marks a premium compared to its industry's average Forward P/E of 6.81.

The Automotive - Foreign industry is part of the Auto-Tires-Trucks sector. This industry currently has a Zacks Industry Rank of 27, which puts it in the top 11% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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