A recent 13F filing with the SEC reveals that First Trust Advisors LP has decreased its position in shares of Li Auto Inc. by 80.5% during the fourth quarter. As of the most recent quarter, the firm owned 86,713 shares of Li Auto’s stock, after selling off 357,973 shares during the period. The total value of First Trust Advisors LP’s holdings in Li Auto amounted to $1,769,000 at quarter-end.
Li Auto is a Chinese electric vehicle manufacturer listed on NASDAQ under ticker symbol LI. The company recently announced its quarterly earnings results, reporting $0.13 EPS for the quarter and a revenue of $2.74 billion. However, despite decent financial performance in Q1 2021, Li Auto had negative returns on equity and net margins.
Although it’s unclear what exactly caused First Trust Advisors LP to unload such a significant portion of its stake in Li Auto, it’s possible that concerns surrounding negative profitability metrics may have been a factor. Nevertheless, as we approach mid-year with commendable financial results so far for Li Auto in 2021 alone and analysts predicting an EPS of $0.25 for the year ahead it will be interesting see how investors choose to react to this news moving forward.
Li Auto Inc.
Updated on: 25/09/2023
Debt to equity ratio: Buy
Price to earnings ratio: Strong Buy
Price to book ratio: Strong Buy
DCF: Strong Buy
9:00 PM (UTC)
Date:25 September, 2023
|Analyst / firm||Rating|
US Tiger Securities
Institutional Investors Show Strong Interest in Li Auto, Boosting Stock Performance
Li Auto sees surge in institutional investor interest
Li Auto, the Chinese electric vehicle manufacturer, has recently seen a significant increase in interest from institutional investors. Captrust Financial Advisors led the way by raising their holdings by 584.1% during the first quarter of this year, with Ronald Blue Trust Inc. and Quadrant Capital Group LLC also increasing their stakes considerably.
A number of new positions were also taken up during this period, with Y.D. More Investments Ltd purchasing shares worth approximately $45,000 and US Bancorp DE buying an additional 653 shares.
As a result of these moves, institutional investors now account for a significant 20.97% of the company’s stock.
Despite market fluctuations caused by global economic uncertainty and ongoing tensions between China and the US, Li Auto continues to perform well on the stock market. Shares opened at $29.44 on Friday, having reached a 52 week high of $41.49 earlier this year.
The company’s quick ratio of 1.98 and current ratio of 2.16 demonstrate strong liquidity levels while its low debt-to-equity ratio highlights its ability to manage any financial risks long term.
Overall, these recent investments reflect an optimistic outlook for Li Auto’s future growth potential both in China and beyond as it continues to make strides towards becoming a leading player in the global EV market.