Chinese EV maker Nio (NIO) is set to report second-quarter earnings on September 2, with analysts expecting a loss of $0.31 per share on revenue of $2.73 billion. Ahead of results, NIO stock has been on a strong run, climbing more than 37% in the past five days and up 82% over the past three months. The stock jumped another 10% in Tuesday’s session to close at $6.70, as JPMorgan analyst Nick Lai upgraded Nio to Buy and lifted his price target to $8 from $4.80.
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The rally has been driven by new product launches and aggressive pricing. Nio recently unveiled its three-row ES8 SUV, now open for pre-orders in China, and cut prices across its long-range lineup to better compete with Tesla’s (TSLA) new Model Y L SUV. At the same time, excitement over Nio’s mass-market Onvo brand, especially the L90 SUV, has added to the stock’s momentum.
Ahead of the results, investor sentiment has turned more positive, with analysts pointing to Nio’s growing model range and key upcoming events as reasons for a moderately bullish outlook.
JPMorgan Turns Bullish
Lai is growing more upbeat on Nio, pointing to factors that could support further gains. He sees Nio benefiting from a wider product lineup and improving consumer sentiment.
The analyst expects deliveries to rise 50% in 2025 and 47% in 2026, with profits likely to improve in the second half of 2026 if margins recover. Lai also placed Nio on a “positive catalyst watch,” pointing to its Q2 earnings report, Nio Day in late September, and the Guangzhou Auto Show in November as key events that could further lift the stock.
Morgan Stays Positive
Earlier this week, Morgan Stanley analyst Tim Hsiao raised his price target on Nio to $6.50 from $5.90, while keeping a Buy rating. Hsiao pointed to operational improvements and robust early demand for the Onvo L90 as key drivers.
Hsiao cut his 2025 delivery forecast by 9% to 330,000 units after a weaker first half but kept his 2026 and 2027 targets at 470,000 and 586,000, showing confidence in new models.
Is Nio a Buy Ahead of Earnings?
Overall, Wall Street has a Moderate Buy consensus rating on NIO stock based on four Buys, five Holds, and one Sell assigned in the last three months. The average NIO stock price target of $5.01 implies 25.22% downside potential from current levels.
