LI

Over the past six months (March to September 2026), Li Auto's stock experienced significant volatility, declining 32.0% year-to-date and 55.3% over the past year as of September 21, 2026. Key events included a Q2 2026 net loss of RMB 1.7 billion, an 11.5% year-over-year delivery decrease, and compressed vehicle margins of 9.4%. Weak Q3 2026 guidance for deliveries and revenues fell short of consensus expectations. Delivery trends showed year-on-year declines in June and July, but August deliveries rebounded with a 32% year-over-year increase. The company launched several new models, including the Li i9, Li MEGA MPV, Li L8, and Li L6. Li Auto announced a strategic shift to reduce reliance on CATL for batteries, opting for in-house developed batteries and a partnership with Sunwoda. The company continued its US$1.0 billion share repurchase program, while intense market competition, aggressive discounting, and US-China trade tensions pressured profitability and margins.