Li Auto (LI) Competitors

Ferrari (NYSE:RACE) and Li Auto (NASDAQ:LI) are both large-cap auto/tires/trucks companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, community ranking, media sentiment, risk, profitability, earnings and institutional ownership.

Which has more risk & volatility, RACE or LI?

Ferrari has a beta of 1.13, meaning that its stock price is 13% more volatile than the S&P 500. Comparatively, Li Auto has a beta of 0.95, meaning that its stock price is 5% less volatile than the S&P 500.

Does the media refer more to RACE or LI?

In the previous week, Ferrari had 61 more articles in the media than Li Auto. MarketBeat recorded 68 mentions for Ferrari and 7 mentions for Li Auto. Li Auto's average media sentiment score of 1.12 beat Ferrari's score of 0.39 indicating that Li Auto is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Ferrari	24 Very Positive mention(s)	9 Positive mention(s)	16 Neutral mention(s)	13 Negative mention(s)	6 Very Negative mention(s)	Neutral
Li Auto	7 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do insiders and institutionals hold more shares of RACE or LI?

9.9% of Li Auto shares are held by institutional investors. 48.5% of Li Auto shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Do analysts rate RACE or LI?

Ferrari currently has a consensus target price of $526.25, suggesting a potential upside of 5.44%. Li Auto has a consensus target price of $32.85, suggesting a potential upside of 11.91%. Given Li Auto's higher possible upside, analysts clearly believe Li Auto is more favorable than Ferrari.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ferrari	0 Sell rating(s)	1 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.86
Li Auto	1 Sell rating(s)	4 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.25

Does the MarketBeat Community believe in RACE or LI?

Ferrari received 498 more outperform votes than Li Auto when rated by MarketBeat users. Likewise, 66.98% of users gave Ferrari an outperform vote while only 56.67% of users gave Li Auto an outperform vote.

Company	Underperform	Outperform
Ferrari	Outperform Votes 566 66.98%	Underperform Votes 279 33.02%
Li Auto	Outperform Votes 68 56.67%	Underperform Votes 52 43.33%

Which has higher earnings and valuation, RACE or LI?

Li Auto has higher revenue and earnings than Ferrari. Li Auto is trading at a lower price-to-earnings ratio than Ferrari, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ferrari	$6.88B	17.58	$1.65B	$9.45	52.81
Li Auto	$144.46B	0.21	$1.65B	$1.05	27.96

Is RACE or LI more profitable?

Ferrari has a net margin of 22.81% compared to Li Auto's net margin of 7.20%. Ferrari's return on equity of 46.69% beat Li Auto's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Ferrari	22.81%	46.69%	17.13%
Li Auto	7.20%	13.03%	5.55%

Summary

Ferrari beats Li Auto on 12 of the 18 factors compared between the two stocks.