Delivering in February to maintain the core business Heavy investment in AI: Ideal(02015) growth and profitability are both tested

AutoHome Finance APP learned that on March 1, Li Auto (02015) announced its delivery data for February 2026. In February, Li Auto delivered 26,421 new vehicles. Combined with 27,668 units delivered in January, the total deliveries at the start of 2026 reached 54,089 units. According to the China Passenger Car Association, retail sales of passenger cars nationwide in January totaled 1.544 million units, down 13.9% year-on-year. Retail sales of new energy passenger vehicles were 596,000 units, down 20.0% year-on-year. The retail penetration rate of new energy vehicles in the overall domestic passenger car market was 38.6%, a 3 percentage point decrease compared to the same period last year. Despite the “late spring cold” in the domestic new energy passenger vehicle market in January, Li Auto demonstrated strong market resilience with stable delivery performance, paving the way for its annual sales target.

As of the end of February 2026, Li Auto’s cumulative deliveries reached 1,594,304 units, surpassing 1.59 million, with the user base continuing to expand. This achievement is supported by its continuously improving sales and charging network: currently, Li Auto has 539 retail centers across the country, covering 160 cities; 548 after-sales and authorized service centers, covering 223 cities. Li Auto has deployed 4,054 Li Auto Super Charging Stations nationwide, with 22,447 charging piles, continuously enhancing charging convenience.

Despite a steady start to the year, Li Auto still faces severe market challenges.

Financial reports show that in the third quarter, Li Auto’s revenue decreased by 36.2% year-on-year, with a net loss of 624 million RMB. In comparison, its net profit was 2.8 billion RMB in Q3 2024 and 1.1 billion RMB in Q2 2025.

Industry analysts note that JPMorgan released a research report stating that this year’s Chinese auto market will exhibit a mixed pattern similar to 2018 and 2025: 1) Due to the overall passenger car market growth slowing into negative territory (similar to 2018), the industry’s annual performance may be relatively weak; 2) However, driven by new model launches, seasonal fluctuations, and changing profit expectations (similar to 2025), market volatility may increase throughout the year. Whether absolute or relative gains can be achieved will depend on whether companies can outperform earnings expectations, which will be more challenging amid rising costs.

Market reports predict that Li Auto has already set a preliminary growth target of about 40% for early 2026. With the upcoming launch of the all-new L9 in the second quarter, Li Auto’s “comeback battle” in 2026 will officially enter a critical phase. As the new energy vehicle market shifts from rapid growth to high-quality development, whether this transformation can help achieve its growth plans remains a key focus for the market.

UBS states that Li Auto’s current valuation level is attractive. Its trading valuation is below 95% of the time since its listing, and net cash accounts for about two-thirds of its market value, reflecting a rather pessimistic market sentiment. With the launch of the L9 imminent, UBS sees a glimmer of hope. Due to its high risk-reward profile, UBS reiterates a “Buy” rating.

UBS believes that from now until the official launch in the second quarter, market sentiment is expected to gradually improve, helping to increase investor visibility on other model updates. The flagship SUV L9 will be refreshed in the second quarter, potentially accelerating growth from a low base in 2025. Despite the challenge of rising commodity costs, the company’s high-end positioning and profit buffers are expected to make it more resilient than most peers. UBS considers now an appropriate time to re-focus on this stock.

Li Auto heavily invests in AI, and CEO Li Xiang responds to skepticism: 70% of the time still focused on cars

Li Auto is fully betting on embodied intelligence, with the all-new L9 serving as its first practical platform. In early February, CEO Li Xiang posted to promote the new Li Auto L9 and announced that the L9 would be officially launched in the second quarter of this year. Li Xiang said, “Many people have asked me over the past two years whether all-in on AI means I no longer focus on cars. On the contrary, we understand that embodied intelligence must be rooted in a good car to truly create value for users. That’s why I spend 70% of my time on cars, which helps us better understand how to evolve cars into true robots.” Li Xiang added, “The all-new Li Auto L9 is not only a great car but also the pioneering embodiment of embodied intelligent robots.”

Huatai Securities released a research report stating that Li Auto aims to become the best-performing company in the embodied intelligence field within the next 3-5 years. The report believes that organizational efficiency improvements are expected to accelerate technology implementation, and embodied intelligence will achieve scene-based breakthroughs through VLA. The synergy between these two will become Li Auto’s core competitive advantage in 2026.