U.S.-listed shares of Chinese EV maker Nio rose more than 7% on Thursday morning to $4.43, just one cent shy of a new three-month high.
The rally comes one day after the unveiling of a special edition of the company’s flagship executive sedan, the ET9, and praise from Nvidia CEO Jensen Huang, who described Nio and XPeng vehicles as “very luxurious.”
Nio said the updated version of the ET9 is expected to launch later this year, according to Ted Li, the company’s vice president of product management.
Investor sentiment was also lifted by strong store traffic for the upcoming Onvo L90 SUV.
The model will face increasing competition as several brands prepare to launch 6-seater SUVs in the next few months: Tesla Model YL, IM LS9, Li Auto i8, and the M8 SUV from the Huawei-backed brand Aito.
Earlier this week, Morgan Stanley analyst Tim Hsiao estimated that Nio’s new sub-brand had secured between 30,000 and 35,000 pre-orders for the L90 within its first four days of pre-launch. The company has not disclosed official figures or commented on the estimate.
“With all the pessimism in the price, we think the stock is like a call option,” Hsiao wrote in a note on Monday.
“NIOH’s (9866.HK) share price rose 11% today (vs. HSI +0.3%) on the back of solid preorder intake for Onvo L90, which reached 30-35k units per our latest channel checks today,” he added.
Thursday’s gain brings Nio’s rebound from its five-year low of $3.02 in early April to 47%, turning the stock positive for the year. Over the past 12 months, it remains down 2.6%.
On Wednesday, Tesla filed for regulatory approval of a new six-seat version of its best-selling Model Y with China’s Ministry of Industry and Information Technology (MIIT), with a launch expected in the fall.
Nio’s L90 is scheduled to begin deliveries on August 1.
Separately, a new MIIT filing published Tuesday revealed updated specs for the upcoming ES8 SUV, including a CLTC-rated range about 30 kilometers longer than the current model.
The refreshed ES8 will be officially unveiled at Nio Day 2025, expected to take place in late September.
