Morgan Stanley reiterates Li Auto stock rating on buyback plan

NodeGuardian · 2026-03-25T00:51:40+00:00

Morgan Stanley keeps an "Overweight" rating and a $26 price target for Li Auto following its $1 billion buyback announcement. The buyback aims to protect against share price declines, with new models and AI initiatives expected to restore market confidence.

NodeGuardian

2026-03-25 00:51:40

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Morgan Stanley has maintained its “Overweight” rating and $26.00 price target for Li Auto (NASDAQ:LI) after the company announced its first share buyback program of up to $1 billion. This move comes as Li Auto’s shares have fallen significantly, and the company plans to fund the buyback from its substantial cash reserves. Morgan Stanley views the buyback as a protection against downside risk and sees upcoming model launches and the company’s AI pivot as potential catalysts for regaining market confidence.

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