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Li Auto Shares Rise Over 5% on New MEGA MPV Launch, Morgan Stanley Sees Sales Rebound
Shares of Li Auto (HKG: 2015) surged in Hong Kong trading after the Chinese electric vehicle maker officially launched its new-generation MEGA multi-purpose vehicle (MPV), with analysts at Morgan Stanley anticipating a gradual recovery in the model's monthly sales.
Market Reaction
The automaker's Hong Kong-listed shares climbed more than 5% in morning trading, reaching HK$48.72 with a transaction volume of HK$198 million, according to a report from Zhitong Finance. The rally follows the company's announcement of the updated MEGA, which has a starting price of RMB 509,800.
Analyst Sees Sales Recovery
In a research note, Morgan Stanley stated it expects monthly sales for the MEGA to see a gradual rebound. The investment bank also suggested that Li Auto's performance could receive a further boost from its planned expansion into overseas markets.
Morgan Stanley highlighted the new MEGA's single-configuration, all-standard-equipment strategy. The bank believes this approach helps lower the decision-making cost for consumers while simplifying production and delivery logistics. Looking ahead, the firm identified the upcoming i9 model as the next key catalyst for supporting short-term sales and growth in the pure electric vehicle segment.
AdTechnical Upgrades and Global Rollout
Deliveries for the new MEGA are set to begin this week. Li Auto also plans to introduce a right-hand drive version in Hong Kong, Macau, Singapore, and Thailand before the end of the year.
According to Morgan Stanley's analysis, the vehicle's redesign prioritizes handling and autonomous driving capabilities. Key technical enhancements include:
- A steer-by-wire and rear-wheel steering system, which reduces the 5.35-meter-long MPV's turning radius from 6.2 meters to 5.5 meters.
- An 800V active anti-roll chassis.
- Advanced hardware, including dual M100 chips and four LiDAR sensors, to provide a foundation for future over-the-air (OTA) software updates.
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