NIO 1W - engine on or just market noise?

4 nov

Technically, NIO has broken out of a long downtrend and is holding above the key $7.4 support. On the weekly chart this looks like the first sign of a long-awaited reversal. Fundamentally, however, the story is still mixed.

The company reported record October deliveries above 40 k units, up roughly 93% year-on-year - strong momentum that shows NIO is expanding its market share in China and entering a new growth phase. Still, free cash flow remains negative and profitability elusive due to heavy investments in battery-swap infrastructure and R&D.

Overall, sales growth and improving brand position support a bullish outlook. As long as price holds above $7.0–7.5, targets at $16.3 and $24.4 remain realistic. A breakdown below $6.5 would invalidate the setup.

Even electric dreams need a full charge - let’s see if this one can make it up the hill.

3 giorni fa

Trade attivo

NIO: time to get in. Buying at the opening of the session.

NIO is finally starting to show the fundamentals that the market has been waiting for for over a year. Third-quarter revenue rose to 21.8 billion yuan, up 16.7 percent year-on-year. Deliveries of 87,071 cars, up 40.8 percent. Margins rose to 14.7 percent and operating expenses fell by almost 29 percent. This is a strong reversal that usually precedes a trend restart.

Forward P/E is around 0.71, which is significantly below the five-year average. With such fundamentals, the market is underestimating the company's potential in 2026, when it is expected to become profitable.

I see a position in NIO as a logical decision at current levels and am buying at the opening of the session.