Mizuho analyst reiterates NIO’s price target of $60 seeing an upside potential of 265%

Written by Cláudio Afonso | info@claudio-afonso.com | LinkedIn | Twitter

Mizuho analyst Vijay Rakesh reiterated on Monday NIO‘s price target of $60 representing an upside potential of 264.9% from the previous closing price of $16.44. The analyst keeps a Buy rating on the shares after hosting the company at the firm’s auto technology seminar.

The two main catalysts mentioned by Rakesh are the improvements on the production and the supply chain that can take the EV maker back to pre-shutdown levels as soon as June and the new NIO Pilot+ Autonomous package (to be launched in a few months) priced at a 40%-50% discount when compared to Tesla’s Full Self Driving system.

“With light at the end of the tunnel for Shanghai lockdowns, NIO appears on track for long-term growth with its premium electric vehicle leadership, global expansion and mass market brand launch in 2024”, Rakesh stated.

Earlier today, Morgan Stanley analyst Tim Hsiao reiterated the firm’s price target on NIO of $34 while maintaining the Overweight rating. The analyst said the company is now “better positioned to hedge ADR de-listing risks,” adding that “all eyes are still on potential A-share listing which will take longer to eventuate.”

NIO announced on Monday that it will be included in the Hang Seng TECH Index as a constituent stock, effective June 13, 2022, according to the announcement made by the Hang Seng Indexes Company Limited on Friday.

Earlier today, the company announced that it will report its Q1 2022 financial results on June 9, before the open of the U.S. markets followed by the earnings conference call schedule to start at 8:00 EST.

The electric vehicle maker started being traded on the Singapore Stock Exchange on Friday, an event live streamed by the NIO on its social platforms. CEO William Bin Li unveiled that the company aims to establish a research and development center for artificial intelligence (AI) and autonomous driving (AD) in Singapore. In addition, NIO plans to research institutions to further broaden and enhance its global R&D capabilities while details on the expansion to the country in terms of sales were not mentioned.

Last week, NIO posted its first job vacancy located in France, the 8th European Market for the Chinese electric vehicle manufacturer. “For starting our power business operations in France, we are looking for a NIO Power Network Development Lead,” NIO said on the job description. After Hungary and Austria, France is now officially on NIO‘s plan to early 2023.

Written by Cláudio Afonso | info@claudio-afonso.com | LinkedIn | Twitter