NIO (NYSE:NIO) Trading 2% Higher - Should You Buy?

Key Points

• Shares of NIO rose about 2% to $6.35 on Tuesday with volume roughly 25% below average; analysts' consensus remains a Hold with a mean price target of $6.80, though HSBC, Nomura and DBS have recently upgraded the stock.
• Fundamentals show profitability challenges—last quarter revenue was $4.95B with EPS of $0.04, a negative net margin of -17.21% and ROE of -924.56%—analysts forecast about -0.28 EPS for the year, and institutional investors own roughly 48.55% of the shares.

Shares of NIO Inc. (NYSE:NIO - Get Free Report) traded up 2% during trading on Tuesday . The company traded as high as $6.51 and last traded at $6.3520. 32,333,906 shares traded hands during trading, a decline of 25% from the average session volume of 43,387,711 shares. The stock had previously closed at $6.23.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on the company. HSBC upgraded NIO from a "hold" rating to a "buy" rating and upped their price target for the stock from $4.80 to $6.80 in a report on Friday, March 13th. Bank of America restated a "neutral" rating on shares of NIO in a research note on Tuesday, March 10th. Weiss Ratings restated a "sell (d-)" rating on shares of NIO in a research note on Monday, December 29th. Nomura upgraded NIO from a "neutral" rating to a "buy" rating and set a $6.60 target price for the company in a research note on Wednesday, March 11th. Finally, Dbs Bank upgraded NIO from a "hold" rating to a "moderate buy" rating in a research note on Monday, March 16th. Seven investment analysts have rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $6.80.

NIO Stock Up 2.0%

The business has a 50 day moving average of $5.75 and a 200 day moving average of $5.61. The company has a debt-to-equity ratio of 2.08, a current ratio of 0.98 and a quick ratio of 0.87. The firm has a market capitalization of $14.59 billion, a price-to-earnings ratio of -6.55 and a beta of 0.99.

NIO (NYSE:NIO - Get Free Report) last issued its earnings results on Saturday, February 14th. The company reported $0.04 EPS for the quarter. NIO had a negative return on equity of 924.56% and a negative net margin of 17.21%.The business had revenue of $4.95 billion during the quarter. On average, equities analysts anticipate that NIO Inc. will post -0.28 EPS for the current year.

Institutional Trading of NIO

A number of large investors have recently bought and sold shares of the stock. Aspex Management HK Ltd bought a new stake in NIO in the third quarter valued at $266,700,000. WT Asset Management Ltd bought a new stake in NIO in the third quarter valued at $142,120,000. Voloridge Investment Management LLC grew its position in NIO by 14.4% in the fourth quarter. Voloridge Investment Management LLC now owns 13,498,709 shares of the company's stock valued at $68,843,000 after acquiring an additional 1,694,023 shares during the period. Ghisallo Capital Management LLC bought a new stake in NIO in the third quarter valued at $91,440,000. Finally, RWC Asset Advisors US LLC bought a new stake in NIO in the third quarter valued at $79,761,000. 48.55% of the stock is currently owned by institutional investors.

About NIO

NIO Inc is a pioneer in the premium electric vehicle (EV) segment, dedicated to the design, development and manufacture of smart, high-performance EVs. Established in November 2014 and headquartered in Shanghai, China, the company focuses on integrating cutting-edge electric propulsion, advanced connectivity and autonomous driving technologies into its automotive platforms. NIO's vision centers on creating a holistic user experience that extends beyond the vehicle itself, encompassing energy services and digital solutions.

The company's product lineup includes flagship SUVs and sedans such as the ES8, ES6, EC6, ET7 and ET5, each engineered to deliver strong performance, long range and a suite of intelligent driver-assistance features.

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