Li stock forecast updates show investor confidence

LI stock forecast updates show investor confidence boosted by strategic partnerships in battery technology. Such moves could lift earnings per share by 5–7% over FY2024, expanding market competitiveness. Analysts expect the Organization of the Petroleum Exporting Countries and its allies (OPEC+) to keep increasing oil output which has pushed down energy prices in the last few days. The group are set to meet on Sunday to decide on output for November, and could hike output further despite concerns that the oil market is already oversupplied. I’m also concerned about the shifting policy outlook. LI defied subsidy cuts with record December 2024 deliveries (58,513 units) and 33% annual sales growth, buoyed by tax exemptions through 2025 and falling battery costs. However, complete subsidy elimination by 2027 could pressure margins, necessitating continued innovation or scaling of production. For now, at least, the exact impact of the removal of subsidies to the end of 2027 is unknown. LI stock forecast models emphasize a bullish outlook if global oil prices remain high, increasing EV demand. Investor focus is on Li Auto’s R&D spending and its correlation with future product launches.