# Li Auto (LI.US)

Canonical: https://gigainvestors.com/s/LI

Analysis as of: 2026-10-16T07:29:50.084Z. Financial observations: FY2018–FY2025.

Listing currency: USD. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $11.46 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 1 revenue decline in the last 10 years (informational)

- more than 2 net loss years

- negative average operating margin

- operating margin variation exceeds 0.35

- Financial history: 8 years

- Years with declining revenue: 1

- Years with a net loss: 5

- Operating margin variation: 2.41×

Chart: Operating margin; fiscal year observations.

- FY2019: -6.47×

- FY2020: -0.07×

- FY2021: -0.04×

- FY2022: -0.08×

- FY2023: 0.06×

- FY2024: 0.04×

- FY2025: -0.00×

### moat: fail

- Years with nonpositive invested capital use equity plus debt and leases; positive earnings with no positive capital are shown above 100%.

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: -7.1%

- ROIC, second-lowest year: -53.3%

- Years with nonpositive capital: 4

- Capital spending / revenue: 7.6%

- ROIC including acquisitions, ten-year median: -52.8%

- Typical minus recent gross margin: -31.6 pp

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2018: 0.0%

- FY2019: -53.3%

- FY2020: -13.8%

- FY2021: -47.4%

- FY2022: -483.1%

- FY2023: 9.7%

- FY2024: 6.3%

- FY2025: -0.5%

### economics: pass

- Owner earnings / net income, 5-yr: 1.02×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 19B

- Net income, five-year total: CNY 18B

- Return on incremental invested capital: 44.3%

- Working capital / revenue, annual change: 2.5 pp

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 1.00×

- FY2022: 1.00×

- FY2023: 1.00×

- FY2024: 1.00×

- FY2025: 1.38×

### management: pass

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: -13.8% vs 6.3%

- Per-share earnings: -1.76 to 3.77 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 19.8%

- Diluted shares, 5-year annual growth: 19.8%

- Per-share value change: CNY 5.53

- Per-share value, starting three-year median: CNY -1.76

- Per-share value, ending three-year median: CNY 3.77

- Buyback history: 0 years

- Debt-funded buybacks: Yes

- ROIC, first three-year median: -13.8%

- ROIC, last three-year median: 6.3%

Chart: Earnings per share; fiscal year observations.

- FY2018: CNY -1.76

- FY2019: CNY -9.54

- FY2020: CNY -0.18

- FY2021: CNY -0.17

- FY2022: CNY -1.05

- FY2023: CNY 5.53

- FY2024: CNY 3.77

- FY2025: CNY 0.52

### accounting: fail

- earnings not backed by cash

- Sloan accruals: 6.3%

- Receivables to sales index (DSRI): 1.14×

- Restructuring years, last five: 0

- Earnings backed by cash: No

- Operating cash / earnings: -7.66×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.02×

Chart: Sloan accruals; fiscal year observations.

- FY2018: -4.2%

- FY2019: -6.7%

- FY2020: -9.1%

- FY2021: -14.0%

- FY2022: -10.9%

- FY2023: -27.2%

- FY2024: -4.9%

- FY2025: 6.3%

## Holders

## Price story

Down 75% since Feb 2024 · "Li Auto tops quarterly revenue estimates but issues weak Q3 guidance; shares dip" (finance.yahoo.com, Aug 2026) · sales -22.3%

Story as of 2026-10-16T09:59:04.324Z; price observation 2026-10-15.

- 2025-05-29: Li Auto (NasdaqGS:LI) Reports Q1 Earnings Growth and Provides Q2 Revenue Guidance ([finance.yahoo.com](https://finance.yahoo.com/news/li-auto-nasdaqgs-li-reports-180811863.html))

- 2025-06-27: Li Auto lowers Q2 delivery outlook to 108,000 vehicles due to system upgrade ([seekingalpha.com](https://seekingalpha.com/news/4463177-li-auto-lowers-q2-delivery-outlook-to-108000-vehicles-due-to-system-upgrade?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-08-28: Li Auto slides after China's EV pricing war takes a toll on Q2 results ([seekingalpha.com](https://seekingalpha.com/news/4490015-li-auto-slides-after-chinas-ev-pricing-war-takes-a-toll-on-q2-results?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

- 2025-11-26: Li Auto Swings to Loss on Sharply Lower Sales ([finance.yahoo.com](https://finance.yahoo.com/m/30353990-8959-3c22-a534-f32f3d988359/li-auto-swings-to-loss-on.html))

- 2026-02-09: JPM sees dour demand outlook for China automakers, downgrades Li Auto ([finance.yahoo.com](https://finance.yahoo.com/news/jpm-sees-dour-demand-outlook-144332123.html))

- 2026-08-27: Li Auto posts Q2 net loss amid soft demand in China ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/li-auto-posts-q2-net-122818254.html))

### Sales · FY2024–2025

sales -22.3%; source https://www.sec.gov/Archives/edgar/data/1791706/000110465926041705/li-20251231x20f.htm; observed 2026-04-10.

- FY2018: CNY 0 

- FY2019: CNY 284M 

- FY2020: CNY 8.9B 

- FY2021: CNY 27B 

- FY2022: CNY 46B 

- FY2023: CNY 124B 

- FY2024: CNY 145B 

- FY2025: CNY 112B 

### Gross margin · FY2025

gross margin 18.7%; source https://www.sec.gov/Archives/edgar/data/1791706/000110465926041705/li-20251231x20f.htm; observed 2026-04-10.

- FY2020: 15.5% 

- FY2021: 20.8% 

- FY2022: 19.1% 

- FY2023: 22.2% 

- FY2024: 20.5% 

- FY2025: 18.7% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in auto manufacturers; annual sales are CNY 112.3 billion.

- Source: https://www.sec.gov/Archives/edgar/data/1791706/000110465926041705/li-20251231x20f.htm (filed 2026-04-10); FY2025: revenue 112312511000; grossProfit 20985058000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); LI.US: Li Auto Inc. operates in the energy vehicle market in the People's Republic of China. The company designs, develops, manufactures, and sells premium smart electric vehicles. Its product line comprises multi-purpose vehicles and sport utility vehicles. The company offers sales and after sales management, and technology development and corporate management services, as well as manufacturing equipment. It offers its products through online and offline channels. The company was formerly known as Leading Ideal Inc. and changed its name to Li Auto Inc. in July 2020. Li Auto Inc. was founded in 2015 and is headquartered in Beijing, the People's Republic of China.

### Why customers stay

Margins ranged from 18.7% to 22.2% during 2023–25; it lost 7.1% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); FY2023: grossProfit / revenue = 22.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); FY2024: grossProfit / revenue = 20.5%.

- Source: https://www.sec.gov/Archives/edgar/data/1791706/000110465926041705/li-20251231x20f.htm (filed 2026-04-10); FY2025: grossProfit / revenue = 18.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); 8-year return on capital observations [[2018,0],[2019,-0.5325098666547198],[2020,-0.13793750636763358],[2021,-0.47426118231439746],[2022,-4.830882265893217],[2023,0.09691615321376015],[2024,0.06295759384198657],[2025,-0.005061801432932183]]; median -0.07149965390028289. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid no dividends in 8 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); FY2023: growth capex 4702189000; upkeep 1805001000; owner earnings 11702552000. Growth capex / owner earnings = 0.40180885331678085.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); FY2024: growth capex 4672157000; upkeep 3057865000; owner earnings 8035832000. Growth capex / owner earnings = 0.5814154651316752.

- Source: https://www.sec.gov/Archives/edgar/data/1791706/000110465926041705/li-20251231x20f.htm (filed 2026-04-10); FY2025: growth capex 0; upkeep 4205517000; owner earnings 1554001000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); Dividend observations: [[2018,0],[2019,0],[2020,0],[2021,0],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own <0.1% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); LI.US SharesStats.PercentInsiders = 0.024 percentage points; cache date 2026-10-16.

### What the price says

The price is 1.5 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-04-10); Closing price 11.46 USD; reporting-to-trading FX 0.14944; FY2025 annual sales per share 52.41567562127091; price multiple 1.4630412485247408. FY2025 cash earnings/share 0.725244334810844. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2020-07: $16.00 per share

- 2020-08: $16.30 per share

- 2020-09: $17.39 per share

- 2020-10: $20.17 per share

- 2020-11: $35.99 per share

- 2020-12: $28.83 per share

- 2021-01: $32.25 per share

- 2021-02: $25.37 per share

- 2021-03: $25.00 per share

- 2021-04: $19.74 per share

- 2021-05: $23.30 per share

- 2021-06: $34.94 per share

- 2021-07: $33.39 per share

- 2021-08: $30.86 per share

- 2021-09: $26.29 per share

- 2021-10: $32.63 per share

- 2021-11: $35.44 per share

- 2021-12: $32.10 per share

- 2022-01: $26.09 per share

- 2022-02: $30.45 per share

- 2022-03: $25.81 per share

- 2022-04: $22.43 per share

- 2022-05: $25.07 per share

- 2022-06: $38.31 per share

- 2022-07: $32.84 per share

- 2022-08: $28.77 per share

- 2022-09: $23.01 per share

- 2022-10: $13.62 per share

- 2022-11: $22.00 per share

- 2022-12: $20.40 per share

- 2023-01: $24.90 per share

- 2023-02: $23.61 per share

- 2023-03: $24.95 per share

- 2023-04: $23.50 per share

- 2023-05: $29.05 per share

- 2023-06: $35.10 per share

- 2023-07: $42.80 per share

- 2023-08: $41.65 per share

- 2023-09: $35.65 per share

- 2023-10: $33.81 per share

- 2023-11: $36.95 per share

- 2023-12: $37.43 per share

- 2024-01: $27.68 per share

- 2024-02: $45.88 per share

- 2024-03: $30.28 per share

- 2024-04: $26.28 per share

- 2024-05: $20.25 per share

- 2024-06: $17.88 per share

- 2024-07: $19.74 per share

- 2024-08: $19.46 per share

- 2024-09: $25.65 per share

- 2024-10: $25.01 per share

- 2024-11: $23.68 per share

- 2024-12: $23.99 per share

- 2025-01: $23.42 per share

- 2025-02: $30.73 per share

- 2025-03: $25.20 per share

- 2025-04: $24.39 per share

- 2025-05: $28.34 per share

- 2025-06: $27.11 per share

- 2025-07: $26.10 per share

- 2025-08: $23.35 per share

- 2025-09: $25.34 per share

- 2025-10: $20.85 per share

- 2025-11: $18.39 per share

- 2025-12: $16.93 per share

- 2026-01: $16.63 per share

- 2026-02: $17.59 per share

- 2026-03: $17.83 per share

- 2026-04: $17.83 per share

- 2026-05: $15.01 per share

- 2026-06: $11.74 per share

- 2026-07: $13.63 per share

- 2026-08: $12.10 per share

- 2026-09: $11.36 per share

- 2026-10: $11.46 per share

## Annual estimated value (USD per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:35:34.839Z where newer inputs omit a numeric field or fiscal period.

## Sources

[Original 20-F filing](https://www.sec.gov/Archives/edgar/data/1791706/000110465926041705/li-20251231x20f.htm); period 2025-12-31, filed 2026-04-10.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.