Written by Cláudio Afonso | LinkedIn | X
Goldman Sachs analyst Tina Hou reiterated a Sell rating and a HK$30.00 price target on the Hong Kong-listed shares of Chinese electric vehicle maker Nio in a research note published on Saturday.
The firm met with Nio’s management on December 26 to discuss the company’s plans for next year, including the three brands under the group. Goldman Sachs analyst said that Nio will update some of the models in 2025, expected to launch in the second half of the year.
The revamped models will feature advanced technologies, including Nio’s in-house developed autonomous driving chip, an 800V battery platform, and two additional LiDAR sensors, similar to those showcased in the flagship ET9 sedan at the Nio Day event.
The note also confirmed that Onvo plans to launch two new SUVs next year, comprising a five-seater model and a 6/7-seater variant. Regarding the recently launched EV brand Firefly, Goldman Sachs says the management expects sales to reach 50,000 units in 2025, with deliveries starting in late April.
The brand will launch in Europe in the first half of next year, Nio’s founder and CEO confirmed last weekend. Opposite to Nio’s premium vehicles, the compact model will be sold via a distribution partner established in each country.
“We need the partners to be fully ready,” the Founder and CEO William Li said in a media session on early Sunday. The chief executive added later on that the company has already reached an agreement with many partners in Europe.
Nio’s Hong Kong-listed shares rose 3.4% on Friday, closing at HK$36.40. Based on the last closing price, Goldman Sachs’ price target implies a downside of about 18%.
In late November, Hou downgraded Nio’s U.S.-listed shares from Neutral to Sell, cutting the price target by 19% to $3.90, citing concerns over Onvo’s production ramp-up.
Nio became listed in Hong Kong in early 2022 and opened at HK$160 per share in their Hong Kong debut. Since then, the stock has lost about 77% of its value.
Nio announced Thursday it is introducing a new Signature edition for its recently unveiled luxurious sedan ET9. After selling all 999 units of the ‘First Edition’ (priced at 818,000 yuan, or $112,100) in just 12 hours, the company is taking advantage of the momentum with a new version.
Written by Cláudio Afonso | LinkedIn | X
