Why Li Auto Stock Just Dropped Another 8%
Shares of Chinese electric-car maker Li Auto (NASDAQ: LI) suffered their latest sell-off Thursday, falling 7.1% through 12:05 p.m. ET after updating projections for electric-vehicle (EV) production -- and disappointing investors. Just last month, Li Auto wowed investors with news of its 2023 accomplishments, including 173.5% sales growth and net profits that were up 18 times versus 2022. Instead of losing money in 2023, Li earned $1.7 billion.
But Li then disappointed investors, warning that 2024 doesn't look as hot. Limiting its lookout to Q1 2024, management said sales will range from 100,000 to 103,000 EVs -- a big increase viewed year over year but a substantial slowdown from Q4 when the company recorded sales of 131,805 units.
It turns out even that downbeat view was overoptimistic.
Source Fool.com
