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LI vs. TME
Performance
Return for Risk
Drawdowns
Volatility
Dividends
Financials

Performance

LI vs. TME - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Li Auto Inc. (LI) and Tencent Music Entertainment Group (TME). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, LI achieves a -14.18% return, which is significantly higher than TME's -46.87% return.


LI

1D
2.32%
1M
-19.28%
YTD
-14.18%
6M
-19.05%
1Y
-50.78%
3Y*
-22.96%
5Y*
-11.93%
10Y*

TME

1D
-0.11%
1M
-1.84%
YTD
-46.87%
6M
-49.90%
1Y
-48.14%
3Y*
6.95%
5Y*
-9.38%
10Y*
*Multi-year figures are annualized to reflect compound growth (CAGR)

LI vs. TME - Yearly Performance Comparison


2026 (YTD)202520242023202220212020
LI
Li Auto Inc.
-14.18%-29.43%-35.91%83.48%-36.45%11.34%75.15%
TME
Tencent Music Entertainment Group
-46.87%56.39%27.12%8.82%20.88%-64.40%21.62%

Correlation

The correlation between LI and TME is 0.27, which is low. Their price movements are largely independent, making them effective diversification partners.


Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.27

Correlation (3Y)
Calculated over the trailing 3-year period

0.37

Correlation (5Y)
Calculated over the trailing 5-year period

0.46

Correlation (All Time)
Calculated using the full available price history since Jul 31, 2020

0.41

The correlation between LI and TME shifts across timeframes, from 0.27 (1 year) to 0.46 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap

LI:

$14.73B

TME:

$14.11B

EPS

LI:

-$1.74

TME:

$5.49

PS Ratio

LI:

0.14

TME:

0.43

PB Ratio

LI:

0.21

TME:

0.19

Total Revenue (TTM)

LI:

$108.98B

TME:

$32.50B

Gross Profit (TTM)

LI:

$17.42B

TME:

$18.52B

EBITDA (TTM)

LI:

-$2.83B

TME:

$13.20B

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Return for Risk

LI vs. TME — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

LI
LI Risk / Return Rank: 44
Overall Rank
LI Sharpe Ratio Rank: 11
Sharpe Ratio Rank
LI Sortino Ratio Rank: 22
Sortino Ratio Rank
LI Omega Ratio Rank: 44
Omega Ratio Rank
LI Calmar Ratio Rank: 55
Calmar Ratio Rank
LI Martin Ratio Rank: 99
Martin Ratio Rank

TME
TME Risk / Return Rank: 99
Overall Rank
TME Sharpe Ratio Rank: 44
Sharpe Ratio Rank
TME Sortino Ratio Rank: 77
Sortino Ratio Rank
TME Omega Ratio Rank: 55
Omega Ratio Rank
TME Calmar Ratio Rank: 1515
Calmar Ratio Rank
TME Martin Ratio Rank: 1212
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

LI vs. TME - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Li Auto Inc. (LI) and Tencent Music Entertainment Group (TME). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.


LITMEDifference
Sharpe ratioReturn per unit of total volatility

-0.24

Sortino ratioReturn per unit of downside risk

-0.69

Omega ratioGain probability vs. loss probability

0.77

0.79

-0.02

Calmar ratioReturn relative to maximum drawdown

-0.92

-0.72

-0.20

Martin ratioReturn relative to average drawdown

-1.38

-1.28

-0.10

LI vs. TME - Sharpe Ratio Comparison

The current LI Sharpe Ratio is -1.27, which is comparable to the TME Sharpe Ratio of -1.03. The chart below compares the historical Sharpe Ratios of LI and TME, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Sharpe Ratios by Period


LITMEDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

-1.27

-1.03

-0.24

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

-0.19

-0.16

-0.03

Sharpe Ratio (All Time)

Calculated using the full available price history

-0.03

-0.09

+0.06

Drawdowns

LI vs. TME - Drawdown Comparison

The maximum LI drawdown since its inception was -69.56%, smaller than the maximum TME drawdown of -90.19%. Use the drawdown chart below to compare losses from any high point for LI and TME.


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Drawdown Indicators


LITMEDifference

Max Drawdown

Largest peak-to-trough decline

-69.56%

-90.19%

+20.63%

Max Drawdown (1Y)

Largest decline over 1 year

-55.35%

-67.01%

+11.66%

Max Drawdown (3Y)

Largest decline over 3 years

-69.56%

-67.01%

-2.55%

Max Drawdown (5Y)

Largest decline over 5 years

-69.56%

-80.52%

+10.96%

Current Drawdown

Current decline from peak

-68.85%

-70.06%

+1.21%

Average Drawdown

Average peak-to-trough decline

-39.88%

-52.00%

+12.12%

Ulcer Index

Depth and duration of drawdowns from previous peaks

36.80%

37.58%

-0.78%

Volatility

LI vs. TME - Volatility Comparison

Li Auto Inc. (LI) has a higher volatility of 17.56% compared to Tencent Music Entertainment Group (TME) at 11.99%. This indicates that LI's price experiences larger fluctuations and is considered to be riskier than TME based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


LITMEDifference

Volatility (1M)

Calculated over the trailing 1-month period

17.56%

11.99%

+5.57%

Volatility (6M)

Calculated over the trailing 6-month period

28.48%

40.90%

-12.42%

Volatility (1Y)

Calculated over the trailing 1-year period

40.22%

47.06%

-6.84%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

63.55%

60.05%

+3.50%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

68.35%

56.71%

+11.64%

Dividends

LI vs. TME - Dividend Comparison

LI has not paid dividends to shareholders, while TME's dividend yield for the trailing twelve months is around 2.65%.


PositionTTM20252024
LI
Li Auto Inc.
0.00%0.00%0.00%
TME
Tencent Music Entertainment Group
2.65%1.03%1.21%

Financials

LI vs. TME - Financials Comparison

This section allows you to compare key financial metrics between Li Auto Inc. and Tencent Music Entertainment Group. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.


Quarterly
Annual

Total Revenue: Total amount of money received from sales and other business activities


0.0010.00B20.00B30.00B40.00B20222023202420252026
22.84B
7.85B
(LI) Total Revenue
(TME) Total Revenue
Values in USD except per share items

LI vs. TME - Profitability Comparison

The chart below illustrates the profitability comparison between Li Auto Inc. and Tencent Music Entertainment Group over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

Gross Margin
Operating Margin
Net Margin
Quarterly
Annual

0.0%20.0%40.0%60.0%80.0%100.0%20222023202420252026
7.9%
44.9%
Portfolio components
LI - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Li Auto Inc. reported a gross profit of 1.80B and revenue of 22.84B. Therefore, the gross margin over that period was 7.9%.

TME - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Tencent Music Entertainment Group reported a gross profit of 3.52B and revenue of 7.85B. Therefore, the gross margin over that period was 44.9%.

LI - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Li Auto Inc. reported an operating income of -2.95B and revenue of 22.84B, resulting in an operating margin of -12.9%.

TME - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Tencent Music Entertainment Group reported an operating income of 2.32B and revenue of 7.85B, resulting in an operating margin of 29.6%.

LI - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Li Auto Inc. reported a net income of -2.28B and revenue of 22.84B, resulting in a net margin of -10.0%.

TME - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Tencent Music Entertainment Group reported a net income of 2.08B and revenue of 7.85B, resulting in a net margin of 26.5%.


Frequently Asked Questions


LI and TME have a correlation of 0.27, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

LI has higher volatility (17.56%) compared to TME (11.99%). In terms of maximum drawdown, LI dropped -69.56% vs TME's -90.19%.

TME currently has the higher Sharpe Ratio (-1.03 vs -1.27), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.

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