Goldman Sachs: Gives LI AUTO-W a "buy" rating with a target price of 120 Hong Kong dollars.

Goldman Sachs released a research report stating that LI AUTO-W (02015) was rated as a "buy" with a target price of 120 Hong Kong dollars. Ideal Car announced its third-quarter performance, with total revenue exceeding expectations by 6%; gross profit was 13% lower than expected, mainly due to high operating expenses and operating profit falling short of expectations. The report stated that if the impact of related recall costs were excluded, the company's gross profit would be approximately 5.571 billion yuan, 8% higher than the bank's expectations; operating losses were 76 million yuan, 170% lower than the bank's expectations. In addition, the revenue and delivery volume guidance for the fourth quarter of 2025 is roughly in line with expectations; revenue is expected to be between 26.5 billion and 29.2 billion yuan, with the midpoint 1% higher than the bank's expectations; car sales volume is estimated to be between 100,000 and 110,000 units, with the midpoint 1% lower than the bank's expectations.