Written by Cláudio Afonso | info@claudio-afonso.com
UBS analyst Paul Gong upgraded NIO to Buy from Neutral with a price target of $32, down from $42. Based on the last closing price, the price target implies an upside potential of 45.91%.
“We upgrade NIO to Buy after its share price is down 44% in the past 12 months. While its sales volume growth has slowed with aging products, we believe its three new model launches slated for 2022, based on its second-generation NT2.0 platform, could drive sales acceleration. UBS Evidence Lab’s EV consumer survey reveals NIO’s improving brand recognition, providing a basis for new products’ strong sales volumes, in our view.” — Gong said in a research note.
A video leaked on Weibo shows that NIO has already some hundreds of Et7 models ready to deliver in April. The model was unveiled during NIO Day 2020 (held in January 2021) finally started to being delivered last week, on March 28.
In March, the EV maker delivered a total of 9,985 units in China during March 2022, representing an increase of 37.6% year-over-year. The deliveries consisted of 9,822 premium smart electric SUVs, including 1,726 ES8s, 5,064 ES6s and 3,032 EC6s, and 163 ET7s.
After delivering 9,652 units in January and another 6,131 in February, the electric vehicle manufacturer had its best month since December reaching a total of 25,768 units in the first quarter of 2022. This was the first month that NIO deliveries also included NIO ET7 beside the already known ES8, ES6 and EC6 models.
Written by Cláudio Afonso | info@claudio-afonso.com