LI Li Auto Inc.

BEARISH Impact: 7/10 PRESS-RELEASE
Horizon weeks Filed May 28, 2026 Processed 8d 18h ago Wire GlobeNewswire
Press release: earnings
Latest settled — T+5d
LI ▼ -3.54% at T+5d
SHORT call ✓ call won +3.54% · α vs SPY +3.49% · entry $15.54 → $14.99
Next anchor: T+20d in 20d
Currently $14.20 · +8.62% from $15.54 entry (call sign-flipped)
Entry anchored
May 28, 04:24 AM ET
via Databento tick
T+1d
-3.41%
call +3.41% · α +3.65%
$15.01
settled 8d ago
T+5d
-3.54%
call +3.54% · α +3.49%
$14.99
settled yesterday
T+20d
call — · α —
in 20d
T+60d
call — · α —
in 3mo

Price Chart

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Executive Summary

Li Auto reported Q1 2026 results with a GAAP net loss of RMB2.3B ($330M) vs net income of RMB646.6M a year ago, as total revenues fell 11.4% YoY to RMB23.0B ($3.3B) and vehicle margin collapsed to 6.1% from 19.8%. The company guided Q2 deliveries down 10-14.5% YoY and revenues down 16-20.2% YoY, signaling continued margin pressure and demand weakness despite a $1B buyback and new model launches.

Key Financial Metrics

Guidance
RMB24.1B-RMB25.4B ($3.5B-$3.7B)
lowered
Free Cash Flow
-$7.4B
Gross Margin
7.9%

Actionable Insight

Li Auto's Q1 results and Q2 guidance confirm a severe margin squeeze and demand deceleration. The 6.1% vehicle margin and negative free cash flow of RMB7.4B suggest the company is burning cash to maintain market share amid price competition. Monitor April delivery data (34,085 vehicles) and the ramp of all-new Li L9/L8 for any margin recovery signal. The $1B buyback provides a floor but does not offset deteriorating fundamentals.

Key Facts

  • Q1 2026 total revenues RMB23.0B ($3.3B), down 11.4% YoY and 20.1% QoQ
  • Vehicle margin collapsed to 6.1% from 19.8% YoY and 16.8% QoQ
  • GAAP net loss RMB2.3B ($330M) vs net income RMB646.6M in Q1 2025
  • Operating loss RMB3.0B vs operating income RMB271.7M a year ago
  • Q2 2026 guidance: deliveries 95K-100K (down 10-14.5% YoY), revenues RMB24.1B-25.4B (down 16-20.2% YoY)
  • Free cash flow negative RMB7.4B ($1.1B) vs negative RMB2.5B in Q1 2025
  • Cash position RMB94.3B ($13.7B) as of March 31, 2026
  • $1.0B share repurchase program: $139.7M completed as of May 26, 2026
  • All-new Li L9 launched in May 2026; all-new Li L8 expected end of June 2026

Financial Impact

Revenue decline of 11.4% YoY, gross margin compression from 20.5% to 7.9%, net loss of RMB2.3B vs net income of RMB646.6M

revenuegross marginvehicle marginnet incomeoperating cash flowfree cash flow

Risk Factors

  • Further vehicle margin compression from pricing pressure and model mix shift
  • Q2 delivery guidance implies YoY decline of 10-14.5%, signaling weak demand
  • Negative operating cash flow of RMB6.1B and free cash flow of -RMB7.4B raise liquidity concerns
  • Convertible note put right exercise reduced outstanding notes to $145.7M, but $716.8M was already repurchased

Market Snapshot

Exchange
OTC
Sector
Motor Vehicles & Passenger Car Bodies
Analyst Consensus
50% bullish (36 analysts)

Documents Analyzed

This report is based on 1 press release from GlobeNewswire.

DocumentAccession Number
PRESS-RELEASE Data (Synthetic)press-3302565
7 reports for LI
Performance horizon
75% Hit rate 3 of 4 directional calls best @ T+5▲ +4.09%Mar 12, 2026
Filters
Rows
Reports for LI — sortable, filterable
Type Now
May 29, 2026
7d ago
Press Release
BEARISH ★ 7/10
$15.01 $14.99▲ +0.13%▼ −0.16%$14.20 (+5.40%)
May 28, 2026
8d ago
Press Release
BEARISH ★ 7/10
$15.54 $14.99▲ +3.54%▲ +3.49%$14.20 (+8.62%)
May 12, 2026
24d ago
Press Release
NEUTRAL ★ 2/10
$18.74 $16.69▼ −10.94%▼ −11.02%$14.20 (−24.23%)
Apr 10, 2026
8w ago
Press Release
BULLISH ★ 8/10
$19.21 $18.39▼ −4.27%▼ −8.77%$14.20 (−26.08%)
Mar 12, 2026
12w ago
Press Release
BEARISH ★ 8/10
$17.83 $17.10▲ +4.09%▲ +3.12%$14.20 (+20.36%)
Mar 1, 2026
13w ago
Press Release
NEUTRAL ★ 4/10
$17.57 $17.83▲ +1.48%▲ +2.69%$14.20 (−19.18%)
Feb 28, 2026
13w ago
Institutional Cluster
BULLISH ★ 6/10
$17.57 $17.83▲ +1.48%▲ +2.69%$14.20 (−19.18%)
Showing 7 of 7

US Market Status

Market Closed — Opens Mon (34h 13m)

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