Highlights:
- Pre-orders of ET7 Nio’s newest product line have overwhelmed and crashed the Nio App.
- Waitlist to order the Nio ET7 have 3+ month.
- JP Morgan Chase analyst Nick Lai raises Price Target to $75 from $50.
- Deutsche Bank analyst Edison Yu took his price target to $70 from $50.
- Credit Suisse analyst Bin Wang raised his target to $71 from $65.
The #NIOET7 features NIO’s latest NAD (NIO Autonomous Driving) technology, bringing safer and more relaxing autonomous driving from point A to point B. https://t.co/cZ2sR1oUve #NIONAD pic.twitter.com/w7DV17jwEV
— NIO (@NIOGlobal) January 11, 2021
Wall Street Raises Overall Sentiment Toward Nio Inc.
This past weekend, Nio Inc., hosted their annual consumer event Nio Day 2021. The overall sentiment? It was a success. Both Asia’s and U.S. Wall Street viewed the contents unveiled on Nio Day with a very positive sentiment. In short, Nio launched a new electric sedan line and talked about their battery and software improvements, including a partnership with Nvidia.
Nick Lai, JP Morgan Chase, analyst raised Nio’s (Ticker: NIO) price target to $75. He has kept the price target to Overweight rating on the shares. Lai explains on his research note the following four points regarding the company’s new model and technology advancement:
- In-house autonomous driving solution with Nvidia (NVDA).
- Solid-State Batteries for their new model (ET7 Sedan).
- Monetization LiDar.
- Commercialization of LiDar.
Analysts across Wall Street are raising their price targets as well. Premarket gains have raised Nio’s market capitalization to more than $100 billion. It is currently up more than 10% in the premarket, trading around $65.
Solid-State Battery Technology Will Be the Ultimate Test.
Can Nio really produce solid-state battery technologies in less than 2 years?
Nio’s plan to include solid-state batteries is a direct challenge to EV competitors including QuantumScape (TICKER:QS) – who is pioneering solid-state battery. QuantumScape, whose company is devoted to solid-state battery technology, has a timeline of 2025 whereas Nio has already announced an ambitious release plan of 2022. Nio has yet to provide further details on their solid-state batteries, we look forward to seeing what they have in store.
