TLDR
- NIO stock surged 8.6% on Thursday, trading at $4.47 with over 47 million shares traded
- The stock has gained 21% over the past month but remains down 2.5% year-to-date
- Q2 deliveries grew 25.6% year-over-year to 72,056 units, with June deliveries up 17.5%
- Wall Street analysts maintain cautious outlook with average price target of $4.50, indicating 6% upside
- Goldman Sachs upgraded from Sell to Hold while Morgan Stanley keeps Buy rating with $5.90 target
NIO stock caught fire on Thursday, jumping 8.6% to close at $4.47 as trading volume reached 47.1 million shares. The electric vehicle maker’s stock hit a high of $4.43 during the session, building on a strong month-long rally.
The Chinese EV company has been on a roll lately, gaining 21% over the past month. Investors seem to be warming up to NIO’s efforts to boost margins and launch new models. But don’t get too excited – the stock is still down 2.5% for the year.
NIO’s delivery numbers have been looking decent. The company delivered 24,925 vehicles in June, marking a 17.5% increase from the same month last year. For the entire second quarter, deliveries jumped 25.6% year-over-year to 72,056 units.
The company is banking on its upgraded models to drive growth. The ET5 Sedan and ET5 Touring are getting refreshed, while the new ONVO L90 just launched. There’s also the L80 coming in Q4 2025.
Analyst Sentiment Remains Mixed
Despite the recent stock performance, Wall Street analysts aren’t getting carried away. The consensus rating sits at Hold, with six analysts giving Hold ratings, two Buy ratings, and one Sell rating.
Morgan Stanley analyst Tim Hsiao kept his Buy rating with a $5.90 price target. He’s watching the ONVO L90 SUV launch closely, noting that deliveries start August 1st. While Hsiao sees the L90’s competitive advantages, he’s realistic about the challenges ahead.
Goldman Sachs made a notable move last month. Analyst Tina Hou upgraded NIO from Sell to Hold and bumped the price target to $3.80 from $3.70. The upgrade came after early signs that NIO’s cost-cutting efforts might help with margin pressures.
NIO is targeting 20% to 25% savings in operating expenses through various initiatives. These include integrating business units and reducing headcount. But Hou still has concerns about cash flow, high debt levels, and growing competition.
Financial Challenges Persist
The numbers tell a mixed story. NIO reported revenue of $1.66 billion in Q1, up 21.5% year-over-year. But the company posted a loss of $0.45 per share, missing estimates by $0.23. That’s actually an improvement from the $2.39 loss per share in the same quarter last year.
The company’s balance sheet shows some stress. NIO has a debt-to-equity ratio of 1.89 and a quick ratio of 0.69. The current ratio sits at 0.84, which isn’t exactly comfortable territory.
NIO’s market cap stands at $9.17 billion with a beta of 1.55. The stock trades well below its 200-day moving average of $4.02 but above its 50-day average of $3.71.
Institutional investors have been making moves. SIH Partners raised its stake by 23.1% in Q4, while Raymond James and Arizona PSPRS Trust bought new positions. Overall, institutional ownership stands at 48.55%.
The average analyst price target of $4.50 suggests about 6% upside from current levels. That’s pretty modest for a stock that’s already gained 21% in a month.
NIO delivered 24,925 vehicles in June 2025, with the ONVO L90 SUV set to begin deliveries on August 1st.
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