BREAKING: Nomura Analyst lowers NIO’s Price target but still sees a 158% potential

Written by Cláudio Afonso |

Nomura analyst Martin Heung lowered the firm’s price target on NIO to $51.50 from $67.10 and keeps a Buy rating on the shares. The new price target implies an upside potential of 158.6% based on the last closing price at $19.91. The analyst believes that the upcoming models (ET7, ET5 and ES7) will help NIO this year.

“Due to the lingering supply chain issues that stemmed from the semiconductor shortage and battery cost inflation, Q4 was not an easy quarter for the electric vehicle sector.” — the analyst said. However, Nio’s new models in 2022 “should help revive” its pipeline, Heung added.

Earlier today, JP Morgan Chase reiterated NIO’s price target of $30 while maitained an Overweight rating on the shares. Last Friday, NIO shares closed 9.42% lower at $19.91 after Earnings Report, indicating that JP Morgan sees an upside potential of 50.6% for the next 12-months. On March 1, the firm had lowered NIO’s price target by 50%, from $60 to $30.

NIO ES8 Model with NAD (NIO Autonomous Driving) capabilities was spotted in Uppsala, Sweden. The country is part of NIO’s 2022 expansion plan with the first deliveries expected to arrive by the end of this year. In September 2021, the company entered Norway being its first European Market and is currently selling only NIO ES8 model there. Although, NIO ET7 will be available there in the fourth quarter of 2022 and NIO ET5 in Spring 2023, as announced by the company on January 22.

When asked about NIO ET7 orders numbers, NIO’s CEO said that they can’t discuss that although, he unveiled that the orders numbers are actually much more than those reported by media (15,000 units).

NIO‘s CEO said the company expects to deliver a total of 25,000 to 26,000 vehicles in the first quarter of 2022. In January, NIO delivered 9,652 units and another 6,131 in February reaching a total of 15,783 vehicles. Based on the calculations, the company will deliver between 9,217 and 10,217 in March.

Written by Cláudio Afonso |