Li Auto vs XPeng Which Outperforms?

Li Auto and XPeng are two of the leading electric vehicle companies in China, both aiming to revolutionize the automotive industry with their cutting-edge technology and innovative designs. Investors have shown significant interest in these companies as they continue to experience rapid growth and expansion in the electric vehicle market. Li Auto, with its focus on smart electric SUVs, and XPeng, with its emphasis on intelligent electric vehicles, offer investors unique opportunities to capitalize on the booming EV industry in China.

Li Auto or XPeng?

When comparing Li Auto and XPeng, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Li Auto and XPeng.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Li Auto has a dividend yield of -%, while XPeng has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Li Auto reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, XPeng reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Li Auto P/E ratio at 16.28 and XPeng's P/E ratio at -15.50. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Li Auto P/B ratio is 2.48 while XPeng's P/B ratio is 2.81.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Li Auto has seen a 5-year revenue growth of 0.00%, while XPeng's is 5770.51%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Li Auto's ROE at 16.20% and XPeng's ROE at -16.90%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $22.75 for Li Auto and $13.04 for XPeng. Over the past year, Li Auto's prices ranged from $17.44 to $46.44, with a yearly change of 166.28%. XPeng's prices fluctuated between $6.55 and $16.29, with a yearly change of 148.59%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.