What's up guys and welcome back to the channel. The EV market is really heating
up in the past few weeks and looks to have a huge future.
So today I want to talk about NIO. I made a video about NIO stock yesterday and
today I want to focus on some more relevant news that has just come out in
the past day. If you've been watching the channel over
the past few months you will have seen the huge gains that we have made
recently. So what are you waiting for? Hit that subscribe button and stop missing
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you a lot of money. I am not a financial advisor and this is not financial advice
I encourage everyone to do your own due diligence
when investing in this or any other company. Now let's dive into it.
NIO is a pioneer in china's premium electric vehicle and technology market.
They design manufacture and sell smart and connected premium electric vehicles,
driving innovations in next generation technologies autonomous driving and
artificial intelligence. NIO's Chinese name translates to "Blue Sky Coming"
The company's vision of a future filled with blue skies which reflects NIO's
vision and commitment to a more economically
environmentally friendly future in which improved smart electric car
technologies coupled with a better care ownership experience will drive
increased appreciation and adoption of smart electric cars,
leading to a more sustainable future for the planet. Although NIO
is mainly known as an electric vehicle company, I think it is more accurate to
describe the company as a technology company similar to how Elon Musk has
repeatedly said that Tesla is not a car company, Tesla is a technology company
that also makes cars. NIO is similar although NIO is known for its cars, the
company also operates NIO life.
This is NIO's lifestyle brand where NIO are working with hundreds of designers
around the world to create entire NIO ecosystems NIO is tapping into the brand
loyalty to sell entire lifestyle to its customers
to bring everything from NIO-branded clothes to its own social media app
and lots of other products nio stock analysisservice where the original NIO
vehicle owner is entitled to lifetime free warranty
roadside rescue and care connectivity services they even offer a door-to-door
service and the owner can choose to have the car
picked up at a (nio stock price prediction)center or delivered NIO house is a new showroom concept that
is much more than just a space dedicated to the presentation of the company's
models NIO house also offers consumers the opportunity to gather around the car
makers unique value and culture each NIO house has its own unique layout
but each one has a cafe library and conference rooms
there are over 30 NIO houses across china
with more plans for the near future NIOpower
in july NIO held its first NIOpower day and unveiled plans for NIOpower 2025.
the battery swap station deployment plan NIOpower is a mobile internet based
power solution with extensive networks for battery charging and battery swap
facilities enhanced by power cloud it offers a
power service system with chargeable swappable and upgradable batteries to
provide users with power services catering to all scenarios
this includes the home charging station the NIO power charger
the NIO power station swap and the NIOpower mobile system where
with one click on the NIO app power mobile will come and charge your care on
the spot NIO has also developed nomi
which is one of the most advanced in-care AI assistants developed by a
chinese company it is a voice activated AI digital companion that personalizes
the user's driving experience what i find amazing
is the level of ownership benefits that NIO can offer to its cares first owner
such as lifetime free battery swaps or lifetime free power service this really
does encourage brand loyalty and really rewards the owner who buys the cars from
NIO NIO's job ad reveals plans to build
factory in poland NIO plans to enter at least five
european countries next year and now the company seemed to be accelerating its
preparations NIO was hiring an eu plant operation manager position in poland
according to a linkedin ad posted by the company with the goal to establish eu
plant build up develop operations team and build up the communications network
this move was expected as capacity had become the biggest bottleneck limiting
sales for leading ev makers in the global shift to electric vehicles as
tesla are close to opening their german production plant and lee otto is also
considering production in europe NIO has repeatedly said that the company
has been targeting the global market not just china
NIO had aggressive globalization plans at its inception but those plans were
forced to be scaled back as it was met with huge financial difficulties in late
2019 and early 2020 it was at this point that retail
investor interest really took off for NIO as the company had been trading at
only about one dollar at the time however NIO secured about one billion
dollars in financing from state-backed investors and then in august 2020
william lee said the company expected to resume
international expansion plans in the second half of 2021 beginning with
europe so this move had been expected for quite some time with norway being
the first step the es8 suv will be the first model to be exported to norway and
it began deliveries in september with plans for the et7 the company's flagship
sedan that has yet to begin deliveries in china to be exported to norway in
2022 the company's low deliveries in norway in september and october were not
due to a lack of orders but rather a controlled pace and NIO deliveries in
norway will increase significantly in november
NIO will enter at least five european countries next year all offering nt2
based products the es-8 based on the first generation platform will only be
offered in norway according to lee
the first model NIO developed was the ep9 super care in 2016 combined with an
attractive design and strong driving performance the eb9 delivers
extraordinary acceleration and best-in-class electric powertrain
technology helping position NIO as a premium brand
the first mass-produced ev the es-8 was unveiled to the public at a NIO-day
event in december 2017 and began making deliveries in june 2018
NIO officially launched the es6 a five-seater high-performance premium
electric suv in december 18 and began its first deliveries in june 2019
NIO launched the et7 a flagship premium smart electric sedan in january 2021 so
the company has a total of five cars with planned production of more models
from early next year and just today NIO opened a new charging line under the
power-up plan this is the third this week and at least the 15th so far this
year featuring three battery swap stations nine supercharging stations and
three destination charging stations this follows on from friday's announcement
that NIO put three battery swap stations into operation bringing the total to 650
which is just 50 short of its goal of exceeding 700 by the end of the year
NIO also put seven new super charging stations into operation bringing the
total to 496 offering over 2800 charging posts so what did the
analysts think of NIO nine wall street analysts have set 12 month price targets
for NIO stock in the last three months the average price target is 60 with a
high forecast of 87 and a low forecast of 45. this
represents 51 upside from the current price looking at market beat we can see
that NIO is currently in the top half of its 50-day range and in the lower
quarter of its 52-week range this indicates that although NIO has
dropped significantly it is now on the up and the market cap for NIO is now
about 62 billion dollars which is quite low remember that rivien and lucid have
only just began to deliver cares over the past few weeks
and those companies are both valued around 100 billion dollars and we can
see that the three most recent ratings have been set this month by mizzou city
group and deutsche bank who have all rated this stock as a boy and giving
price targets of 65 87 and 70 respectively
so why did NIO stock drop on friday and should you be worried according to
motley fool there are three main reasons
now the market in general was read on friday largely due to fears about a new
coronavirus variant found in south africa that has rattled economies around
the world but this coincided with another jarring development in china
that's making investors in chinese stocks nervous chinese regulators have
reportedly asked dd global to de-list its shares in the u.s over concerns that
the company is leaking sensitive data dd has come under fire from china's
regulators primarily over data security concerns ever since it listed its shares
on the new york stock exchange some months ago an order to d-list in the u.s
however is unprecedented and reflects the extent of china's crackdown on
influence although NIO has been seen as one of the
safer chinese stocks so far chinese regulators have primarily
targeted tech stocks lately investors are still becoming nervous
so between the broader market sell-off china's crackdown on dd and hints from
elon musk that tesla are planning to invest 200 million dollars to expand
their production in china this may have hit NIO shares on friday but NIO is
still pushing ahead with its huge plans the company just announced
that it started setting up a factory at its NIO park ev industry park in china
with the first trial vehicle expected to roll out in the second
quarter of 2022 it's a milestone for NIO as NIO park
will be its second factory and NIO have just signed a deal with shell a
strategic partnership that includes a plan to install 100 battery swapping
stations in china by 2025 and construct and operate pilot stations in europe
from 2022 shell's charging network in europe will
also become available to NIO users i spoke about this in detail in a video
that I did on saturday so I won't go into much detail here but this is not
the first time that NIO has signed deals with major international oil companies
earlier this week NIO partnered with oil joint cnpc to build swap stations for
the first time cinepec and cnpc are known in china as the big two oil joints
NIO put into operation two battery swap stations it built with cnpc in
northwestern china marking a major milestone in its efforts to expand its
energy replenishment network and back in april NIO and cinepec signed a strategic
agreement and opened their first battery top station
at a cinepec gas station in beijing even as far back as 2018 nia was making
deals with bp where bb ventures invested 10 million dollars in the
NIO-capital us dollar fund to support the funds
work exploring opportunities in china's new
energy vehicle ecosystem this follows bp and NIOs signing of a partnership
memorandum of understanding now NIO expects to push production capacity as
high as 600 000 vehicles in 2022 which would be amazing in my last video i
spoke about the competitive advantages of having first mover advantage and i
used polestar as an example of an ev company who are looking to scale up
production very quickly paul's there with plans to have 290 000 annual
production within the next three years so for NIO
to be up to 600 000 within the next 12 months would be incredible and it's much
awaited flagship sedan the et7 is also on track for launch next year so
investors might want to think twice before pressing the panic button on NIO
on selloff days like friday looking at trading view
we see here that NIO is actually down more than 25 year to date but this is
not surprising given the huge rise that this had over a slightly longer time
frame in the past 18 months this stock is still up over 1500
taking a closer look we can see that over the past month NIO has moved
sideways in this channel between 39 and 43 dollars
only breaking from this trend twice when it hit as high as 44 dollars and when it
dropped as low as 37 but both of these movements were corrected quickly
I feel that NIO is highly undervalued at this price
but even without any major catalyst of note then this still offers plenty of
trading potential as I see it there is plenty of scope
here to make gains as much as seven percent upside
with less than two percent downside risk with a catalyst this could be much
higher but these gains are what is achievable if NIO continues to move
sideways so guys that brings us to the end of the video if you've watched all
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