Li Auto: Hybrids Bridge The Gap Toward EVs, Boosting Profit Margins

Tomwang112 We previously covered Li Auto (NASDAQ:LI) in October 2023, discussing its excellent prospects, given the robust consumer demand for its offerings despite the uncertain domestic economy and ongoing price war. We had attributed this success to the management’s prudent choice of going with a hybrid vehicle approach, giving consumers the strategic option between ICE and pure EVs. Combined with its growing profitability and balance sheet, we had rated the LI stock as a Buy then. In this article, we shall discuss why LI remains a Buy, though at its previous support levels of $28s for an improved margin of…