Li Auto is in trouble again! Global Investors Demand Class Action Lawsuit for Li Auto to Exaggerate MEGA's Market Demand and Operating Strategy.
Recently, the WeChat public account named "International Lawyer" published an article "Li Auto Global Investor Class Action (and All U.S. Stock Class Action Lawsuits Currently Collected)".
The article points out that Li Auto has recently been sued by investors for securities fraud.
The investors alleged that the company and some of its executives made false statements during the litigation in this case, which caused investors to suffer losses by violating securities laws.
The investor applied to the court to order the defendant to compensate the investor for the losses caused by the fall in the stock price due to his illegal acts. This so-called class action lawsuit by investors is more like the annoyance and anger of capital after it fails to pursue profits.
As the first MPV released by Li Auto and the first pure electric model of Li Auto, MEGA was originally one of the important increments in Li Auto's annual sales target of 800,000 units.
"We are confident that the Ideal MEGA will become the No. 1 product with more than 500,000 sales, regardless of energy form or body form," and will challenge the monthly sales target of 8,000 units.
Long before MEGA went public, Li Xiang, CEO of Li Auto, had set up such a FLAG many times - NO.1 of more than 500,000 yuan, without any definite words in front of it.
Li Xiang even shouted the slogan of "selling high-end pure electric vehicles into explosive products", and said that the number of orders for Ideal MEGA has far exceeded the performance of Ideal L9 in the same period in 2022.
"Suppliers and partners, the supply of capacity must keep up, and do not be misled by the assumption that there is no sales of high-end pure electric vehicles." Li Xiang once shouted to the supplier.
MEGA warmed up half a year in advance, and the company invested a lot of resources, and even squeezed the main model L8 into the corner of the store.
However, as we all know, Ideal has planted a heel on MEGA, and sales are far less than expected. The volume of controversy is far greater than the actual sales.
According to the data, MEGA achieved sales of more than 3,000 units in the first month of its launch, and sales in April were even more pitiful, with only 671 units sold.
Li Auto claims that a big reason for the loss of MEGA is "hacked", that is, it lost in public opinion, but many people think that it is only a secondary reason, and is it "not hacked" when Ideal ONE comes out?
Sales are less than expected, and some people will say that the ideal MEGA design is like a coffin, and the Chinese people taboo this, but in fact, the real reason is that it is too expensive.
At the Beijing Auto Show, Li Xiang interacted with Li Bin and said: "High-end pure electric vehicles are too difficult to sell." Li Bin also agreed, "Now you know how difficult it is for NIO to sell so much."
The splashing traffic will also bring backlash, and the taste of MEGA's unfavorable start must have been experienced by Li Xiang.
After the loss of MEGA, in order to save market sales and word of mouth, Ideal turned down and invested more resources in the Ideal L6 with a lower threshold.
For Li Auto, a very real problem at present is that there is almost no technical "moat" except for accurate product positioning. Today's market has no shortage of more cost-effective range extender players.
A few more words
With refrigerators, color TVs, and large sofas, Li Auto not only achieved a counterattack in sales, but also became the first new car-making force in China to achieve profitability.
With the launch of MEGA, Li Auto has entered a turning point in its development. MEGA failed to achieve the expected sales, and at the same time, it failed to enable Li Auto to take the brand to the next level. Hopefully, this is just a small episode in development, rather than a prelude to the beginning of a downward spiral.