Written by Cláudio Afonso | info@claudio-afonso.com
On Monday, Morgan Stanley analyst Tim Hsiao reiterated an Overweight rating and $34.00 price target on NIO shares. The analyst enhanced that “there will be no change to the MSRP of the newly launched sedan ET7 or the upcoming ET5”. As of 14:08 EST, NIO shares are trading 0.70 per cent lower after recovering from early losses of 11 per cent during the first trading hour.
The analyst stated “We previously anticipated NIO’s price adjustments would come along with the facelift of ES8/ES6/EC6, which might be pushed back a little bit given current production suspension. How NIO handles rush orders prior to price hikes and the launch of facelifted models to minimize the number of customers opting to buy later on is of vital importance. Judging by NIO’s order book, the contribution from orders at new prices won’t kick in until 3Q.”
According to a NIO enthusiast, the ES8 Model was spotted for the first time in Copenhagen, Denmark. The vehicle was seen on April 10 using a license plate from Norway, the first European country entered in the second half of 2021. During the last weeks, many models are being seen in the countries that NIO is aiming to enter this year: Germany, Sweden, Denmark and The Netherlands.
The electric vehicle maker announced on April 10, that will rise its prices from May 10th due to “the continued sharp increase in global raw material prices this year”. The company follows other EV makers including Tesla that have been increasing the price of its models during the last weeks. NIO’s ES8, ES6 and EC6 models will increase ￥10,000 while the starting price of ET7/ET5 remains unchanged.
The company announced on Saturday (April 9) the suspension of the vehicles production due to Covid-19. NIO’s supply chain partners in Jilin (Shanghai) stopped production forcing the company to suspend the production of its vehicles. “Since March, due to the epidemic, the company’s supply chain partners in Jilin, Shanghai, Jiangsu and other places have stopped production one after another, and have not yet resumed. Affected by this, NIO vehicle production has been suspended.” — the company said.
On Friday, NIO’s Shanghai Manager, 庆华, wrote on NIO App regarding the Covid-19 situation in China and how it is affecting the company. “The closure time of the epidemic in Shanghai has exceeded most of our expectations” — he started to say. “At present, almost all of the 1,240 employees of the Shanghai company are also confined to home, unable to respond to the service needs of users and friends in a timely manner, and apologize to users and friends.” — NIO’s Shanghai General Manager said.
Written by Cláudio Afonso | info@claudio-afonso.com