Nio rises premarket as deliveries, ES9 and exports boost outlook

Nio shares rose to $5.13 in premarket trading after falling from a May high of $6.98 to a June low of $4.66. The stock advanced amid stronger deliveries in the second quarter, the rollout of the ES9 SUV and a rise in Chinese electric-vehicle exports.

The company reported second-quarter deliveries of 107,658 vehicles, an increase of 49.4% year over year. June shipments totaled 40,597, up 62.9% from a year earlier. Deliveries by brand in the quarter were 21,908 for Nio, 11,743 for ONVO and 6,946 for Firefly. The ES9 recorded 8,595 deliveries in June, its first full month on the market.

By comparison, BYD’s deliveries fell about 3% year over year and Li Auto’s deliveries dropped 13.7% for the quarter. Polestar’s deliveries rose 38% over the same period.

Market data averages indicate trailing-quarter revenue of roughly CNY 33.50 billion, about 76% higher year over year. Analysts project current-quarter revenue near CNY 36.33 billion, up about 67% year over year. Annual revenue for the company is forecast at about CNY 136.3 billion for the current year and CNY 156.75 billion for the following year. Xpeng’s annual revenue is projected at about CNY 92.34 billion.

The ES9 carries a starting price equivalent to about $73,000 or about $57,000 with a battery-as-a-service subscription. The model offers more than 600 kilometers of range.

Goldman Sachs analyst Tina Hou has set a $7 price target for Nio shares; the average analyst target is near $6.70. Technical indicators show the stock bottomed at $4.66 in June, formed a descending channel and moved above the channel’s upper boundary. The Percentage Price Oscillator registered a bullish crossover and the Relative Strength Index moved above its moving average.

China’s electric-vehicle exports exceeded 1 million units in June, up 71.2% year over year. Industry data indicate annual export volumes rising to roughly 10 million units compared with 7.1 million last year.

Nio operates the Nio, ONVO and Firefly brands and has a market capitalization above $12.3 billion. Investors will monitor the company’s upcoming quarterly earnings report for further revenue and margin details.