- NIO Inc. forecasts second-quarter revenue between 16.59 billion yuan and 17.14 billion yuan, significantly higher than the estimate of 14.38 billion yuan.
- The company expects deliveries for the second quarter to be between 54,000 and 56,000 vehicles, surpassing the estimate of 41,310 vehicles.
First Quarter Results
- Revenue for the first quarter was 9.91 billion yuan, a decline of 7.2% year-over-year, and below the estimate of 10.75 billion yuan.
- Gross margin improved to 4.9%, compared to 1.5% year-over-year, beating the estimate of 4.75%.
- Vehicle deliveries totaled 30,053, a decrease of 3.2% year-over-year, falling short of the estimate of 31,467.
- Vehicle sales reached 8.38 billion yuan, down 9.1% year-over-year, and lower than the estimate of 9.3 billion yuan.
- Vehicle margin increased to 9.2%, from 5.1% year-over-year, but did not meet the estimate of 9.51%.
- Adjusted operating loss rose to 5.11 billion yuan, a 13% year-over-year increase, larger than the estimated loss of 4.77 billion yuan.
- Total operating expenses were 5.88 billion yuan, a 12% rise year-over-year, and above the estimate of 5.61 billion yuan.
Comments
- “NIO’s premium brand positioning, leading technologies, and innovative power experience have been recognized for their competitiveness, contributing to solid growth in vehicle deliveries,” despite market competition.
Analyst Ratings
- 21 buy ratings, 13 hold ratings, and 1 sell rating.
NIO on Smartkarma
Independent analysts on Smartkarma are providing bullish insights on NIO, the electric vehicle company. Ming Lu‘s report, titled “China Consumption Weekly: East Buy, NIO, Tencent, PDD, Alibaba, JD.com,” discusses NIO’s move to launch a second brand for low-priced products, following industry trends. The report also highlights Tencent’s plans to shift unimportant assets. In a separate report by Caixin Global, the headline “Nio Gears Up to Make Its Own EVs After Permit Approval, Equipment Purchases” details NIO’s strategic move towards independent car manufacturing by acquiring key assets worth 3.16 billion yuan. The analysts’ optimism reflects positively on NIO’s future prospects.
A look at NIO Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 2 | |
| Resilience | 5 | |
| Momentum | 2 | |
| OVERALL SMART SCORE | 2.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Investors weighing the long-term potential of NIO, the electric vehicle manufacturer, may find insight in the Smartkarma Smart Scores. With a Value score of 2, NIO is perceived as moderately priced in relation to its fundamentals. However, its Dividend score of 1 indicates a lack of dividends for investors seeking income. In terms of Growth, NIO scores a 2, suggesting potential but not overwhelming growth prospects. The company’s Resilience score of 5 implies a strong ability to weather economic uncertainties, positioning it well for long-term stability. On the Momentum front, NIO scores a 2, reflecting a moderate performance trend.
NIO Inc. focuses on manufacturing and selling electric vehicles and related parts, also offering battery charging services to its global customer base. The company seems to be positioned with a balanced outlook, where its resilience stands out as a key strength. While growth may not be explosive, NIO’s ability to navigate challenges while maintaining a solid momentum could be attractive to investors eyeing the electric vehicle sector for long-term potential.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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