Keep an eye on Chinese stocks, such as Li Auto (LI).
After a miserable few months, the stock is coming back strong as China is ramping up stimulus to boost its downed markets.
Analysts at Deutsche Bank just upgraded the stock to a buy, with a price target of $41. As noted by Investing.com, “Deutsche Bank sees a compelling set-up for Li Auto in the coming quarters. The upgrade is based on a robust product pipeline and an attractive valuation for a top-tier EV player… Deutsche Bank analysts forecast a total of 625,000 deliveries for Li Auto in 2024, reflecting a significant 66% YoY increase.”
From its current price of $30.95, we’d like to see the stock retest $38 near term.
