• Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
Stock

Nio stock analysis: is this Tesla rival a buy today?

by April 24, 2025
by April 24, 2025

Nio stock price has bounced back this month as investors buy the dip. It has risen for eight consecutive days and is hovering at its highest level since April 1. It is up by over 30% from its lowest level this year, bringing its market cap to over $8.2 billion. Let’s explore whether the Tesla rival is a good buy today.

Nio’s business is growing

While the Nio stock price has crashed and erased billions of dollars in value over the years, its business is performing well, with sales increasing. 

Its business is being driven by its top brands like the ES8, ES7, ES6, EC7, ET5, and the recently launched ONVO, its mass market brand. 

Its annual results show that its annual revenue stood at $2.49 billion in 2019, a figure that then jumped to $9 billion in 2024. This represents an impressive 275% annual growth in an industry that has become highly competitive. 

The most recent data showed that its vehicle deliveries and revenues continued rising. It delivered 72,689 vehicles in the fourth quarter, up from the 50,045 that it delivered in the same quarter last year. 

This growth was driven by the inclusion of its Onvo vehicle sales, which have continued rising recently. Nio’s vehicle sales jumped by 13.2% to RMB 17.4 billion in the fourth quarter of last year. 

Most importantly, the vehicle margin rose to 13.1% from the previous 11.9%. For the year, its revenue rose by 18.2% to RMB 58.23 billion, while its annual gross margin rose to 9.9%.

Challenges and opportunities

Nio hopes to continue growing its business by launching new models and entering new markets. Nio, its flagship vehicle brand, is doing well, while demand for its ONVO vehicles is growing. The only challenge is that it has faced some major production challenges. It hopes that Firefly, its third brand, will be a key player in its international business. 

The other challenge is that the company has largely failed to enter the United States, the most lucrative market for vehicles globally. Joe Biden placed a 100% tariff on all Chinese EV vehicles to protect local companies. 

The company is also facing challenges accessing other countries, especially in Europe, which has also placed tariffs on Chinese EVs. Europe argues that Beijing has delivered substantial subsidies to companies, undercutting its firms.

Furthermore, Nio is facing significant competition from companies such as BYD and XPeng. The main benefit for NIO is that the company owns a battery swapping infrastructure that helps to deal with range anxiety. 

BYD has announced that it has created a battery that charges for about 5 minutes. And in a statement this week, CATL said that its battery charged faster than that. Such faster charging speeds could make the battery swapping technology almost worthless. Fortunately, NIO buys its batteries from CATL.

Nio is also incurring substantial losses. Its annual loss jumped to RMB 22.4 billion, up from RMB 20.7 billion a year earlier. As a result, it has continued to dilute its shareholders. It raised over H$ 4 billion by selling shares earlier this month.

Read more: Nio stock price forecast: epic comeback likely after earnings

Nio stock price analysis

Nio stock chart | Source: TradingView

The daily chart shows that the Nio share price has rebounded over the past few days, moving from a low of $3.05 this month to $3.93, its highest swing since April 1.

It has moved above the key resistance level at $3.60, its lowest level in April and August last year. 

The stock is poised to move above the 50-day moving average, while oscillators such as the Relative Strength Index (RSI) and MACD have indicated an upward trend. Therefore, the stock will likely continue soaring as bulls target the key resistance at $5.57, up by 41% from the current level. A drop below the support at $3 will invalidate the bullish view. 

Read more: NIO, XPeng, and other Chinese EV stocks surge on strong sales forecast as Tesla stumbles amid weak demand

The post Nio stock analysis: is this Tesla rival a buy today? appeared first on Invezz

0 comment
0
FacebookTwitterPinterestEmail

previous post
Lloyds share price outlook ahead of earnings: buy, sell, hold?
next post
From Etsy to eBay: secondhand retail stocks poised to gain as tariffs push consumers toward thrifting

Related Posts

Opendoor stock plunges 21% after weak forecast: could...

August 7, 2025

Why Upstart stock tanked on Q2 earnings and...

August 7, 2025

GLD ETF analysis: is this gold fund on...

August 7, 2025

Asian markets open: Nikkei flat on US chip...

August 7, 2025

Europe markets open: Stocks rise; Maersk Q2 profit...

August 7, 2025

SoftBank posts strong quarterly profit of around $2.9B...

August 7, 2025

Trump and Putin to meet next week; White...

August 7, 2025

Is America really getting rich off tariff revenue?

August 7, 2025

Israel’s Leviathan gas field secures historic $35B export...

August 7, 2025

Trump’s tariff gamble on chips and drugs could...

August 6, 2025

Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.

By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

Recent Posts

  • Opendoor stock plunges 21% after weak forecast: could more downside be ahead?

    August 7, 2025
  • Why Upstart stock tanked on Q2 earnings and why it’s a raging buy here

    August 7, 2025
  • GLD ETF analysis: is this gold fund on the verge of a breakout?

    August 7, 2025
  • Asian markets open: Nikkei flat on US chip tariff news; Sensex to open down

    August 7, 2025
  • Europe markets open: Stocks rise; Maersk Q2 profit beats expectations

    August 7, 2025
  • SoftBank posts strong quarterly profit of around $2.9B on Vision Fund gains

    August 7, 2025

Editors’ Picks

  • 1

    Meta executives eligible for 200% salary bonus under new pay structure

    February 21, 2025
  • 2

    Walmart earnings preview: What to expect before Thursday’s opening bell

    February 20, 2025
  • 3

    New FBI leader Kash Patel tapped to run ATF as acting director

    February 23, 2025
  • 4

    Anthropic’s newly released Claude 3.7 Sonnet can ‘think’ as long as the user wants before giving an answer

    February 25, 2025
  • 5

    Nvidia’s investment in SoundHound wasn’t all that significant after all

    March 1, 2025
  • 6

    Cramer reveals a sub-sector of technology that can withstand Trump tariffs

    March 1, 2025
  • 7

    Elon Musk says federal employees must fill out productivity reports or resign

    February 23, 2025

Categories

  • Economy (2,110)
  • Editor's Pick (209)
  • Investing (185)
  • Stock (1,413)
  • About us
  • Contact us
  • Privacy Policy
  • Terms & Conditions

Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Read alsox

Top Chinese stocks to watch this week:...

May 25, 2025

Interview: Interoperability key to institutional digital asset...

July 2, 2025

The Trade Desk stock price had a...

March 15, 2025