LI EV/EBITDA Analysis

EV/EBITDA compares a company’s enterprise value to its earnings before interest, taxes, depreciation, and amortization; at -47.0x, Li's EBITDA is negative, turning the ratio negative.

The sector median is 13.6x, and Li sits at the 2nd percentile, meaning nearly all sector peers have a higher (better) EV/EBITDA. The metric is stable across recent quarters, with a quarter-over-quarter change of +0.2% and a year-over-year change that is not available. A negative and stable EV/EBITDA indicates the company's operating losses are persisting without improvement. This combination of a deeply negative level and flat trend implies ongoing valuation risk, as the market assigns no positive earnings multiple to the firm. This metric supports the overall CAUTIOUS verdict, because the negative EBITDA base offers no earnings-based support for the enterprise value.

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