Followers | 689 |
Posts | 143817 |
Boards Moderated | 35 |
Alias Born | 03/10/2004 |
Tuesday, November 23, 2021 7:48:12 PM
By: Barron's | November 23, 2021
Chinese electric-vehicle maker NIO has lagged behind peers so far in 2021. The underperformance of its American depositary receipts—U.S.-listed securities—could be ending.
Citigroup analyst Jeff Chung wrote Tuesday that recent weakness in NIO (ticker: NIO) ADRs was related to the company selling shares. Those sales are done and he sees positive catalysts for the stock coming in 2022.
He rates NIO ADRs at Buy and has an $87 price target, more than 100% higher than recent levels.
NIO (ticker: NIO) ADRs rose 7% Monday, closing at $41.49. Monday’s rise was related to a late Friday news release in which NIO said it had finished selling about 53 million ADRs raising about $2 billion in cash.
Since that sale was announced in early September, NIO ADRs slipped about 5% until the capital raise finally finished. XPeng (XPEV) ADRs rose about 12% over the same span. Li Auto (LI) ADRs dipped a little, falling about 1%, but Tesla (TSLA) stock roared ahead, rising more than 50% over the comparable span.
NIO was the worst performer of that group, but the ADRs are making up for some of the underperformance again on Tuesday. NIO ADRs are up another 3.8% in early Tuesday trading. The S&P 500 and Dow Jones Industrial Average are both up about 0.2%.
The removal of the sale is one positive factor for the NIO. Looking ahead, Chung sees November vehicle deliveries, an analyst event on Dec. 18, and pricing details for the company’s new ET5 sedan helping to lift the ADRs.
The ET5 should compete with the likes of a Tesla Model 3.
Chung is a NIO bull, and his price target is the highest on the Street, according to Bloomberg. His peers on Wall Street also love NIO. About 84% of analysts covering the company rate NIO at Buy. The average Buy-rating ratio for stocks in the S&P 500 is about 55%.
The average analyst price target stands at about $60, about two-thirds of Chung’s price target, but it still implies about 44% gains from recent levels.
Coming into Tuesday trading, NIO ADRs are down about 15% year to date, which has helped them grow into their valuation. At the end of 2020, ADRs traded for about 14 times estimated next year’s sales. Shares are now trading for about 7.5 times estimated next year’s—or 2022, in this case—sales.
Read Full Story »»»
DiscoverGold
Information posted to this board is not meant to suggest any specific action, but to point out the technical signs that can help our readers make their own specific decisions. Caveat emptor!
• DiscoverGold
Recent NIO News
- Dell, Palantir, and Erie Will Be Added to the S&P 500; Boeing Avoids Strike; Apple Event Takes Place Today • IH Market News • 09/09/2024 10:05:35 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 09/05/2024 01:16:57 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 09/05/2024 10:39:09 AM
- U.S. Index Futures Steady Amid Labor Data Anticipation; Oil Prices Rise • IH Market News • 09/05/2024 10:13:05 AM
- NIO Inc. Reports Unaudited Second Quarter 2024 Financial Results • GlobeNewswire Inc. • 09/05/2024 09:30:44 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 09/03/2024 10:06:04 AM
- NIO Inc. Provides August 2024 Delivery Update • GlobeNewswire Inc. • 09/01/2024 09:30:07 AM
- NIO Inc. to Report Unaudited Second Quarter 2024 Financial Results on Thursday, September 5, 2024 • GlobeNewswire Inc. • 08/22/2024 09:30:19 AM
- Walmart Sells JD.com Stake, Microchip Suffers Cyberattack, Union Pacific Warns of Strike in Canada, and Latest News • IH Market News • 08/21/2024 12:12:11 PM
- NIO Inc. Provides July 2024 Delivery Update • GlobeNewswire Inc. • 08/01/2024 09:30:11 AM
- Form S-8 - Securities to be offered to employees in employee benefit plans • Edgar (US Regulatory) • 07/09/2024 10:24:34 AM
- NIO Inc. Announces Management Change • GlobeNewswire Inc. • 07/05/2024 09:30:10 AM
- NIO Inc. Provides June and Second Quarter 2024 Delivery Update • GlobeNewswire Inc. • 07/01/2024 09:30:03 AM
- Cheche Group Announces Partnership with NIO Insurance Broker • PR Newswire (US) • 06/20/2024 11:30:00 AM
- GME Volatile as Roaring Kitty Goes Live Today, Meta Unveils AI for WhatsApp Ads, and More • IH Market News • 06/07/2024 12:09:15 PM
- US Index Futures Mixed; Oil Prices Rise • IH Market News • 06/06/2024 11:29:43 AM
- NIO Inc. Reports Unaudited First Quarter 2024 Financial Results • GlobeNewswire Inc. • 06/06/2024 10:10:50 AM
- Apollo Buys 49% of Intel’s Irish Plant for $11bn, BlackRock and Citadel to Create Texas Exchange, and More News • IH Market News • 06/05/2024 11:41:36 AM
- NIO Inc. Provides May 2024 Delivery Update • GlobeNewswire Inc. • 06/01/2024 09:30:59 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 05/24/2024 10:14:54 AM
- NIO to Hold Annual General Meeting on June 25, 2024 • GlobeNewswire Inc. • 05/24/2024 09:30:44 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 05/22/2024 10:06:28 AM
- NIO Inc. to Report Unaudited First Quarter 2024 Financial Results on Thursday, June 6, 2024 • GlobeNewswire Inc. • 05/22/2024 09:30:11 AM
- Form 424B3 - Prospectus [Rule 424(b)(3)] • Edgar (US Regulatory) • 05/21/2024 08:28:12 PM
- Form F-3ASR - Automatic shelf registration statement of securities of well-known seasoned issuers • Edgar (US Regulatory) • 05/21/2024 08:02:10 PM
VHAI - Vocodia Partners with Leading Political Super PACs to Revolutionize Fundraising Efforts • VHAI • Sep 19, 2024 11:48 AM
Dear Cashmere Group Holding Co. AKA Swifty Global Signs Binding Letter of Intent to be Acquired by Signing Day Sports • DRCR • Sep 19, 2024 10:26 AM
HealthLynked Launches Virtual Urgent Care Through Partnership with Lyric Health. • HLYK • Sep 19, 2024 8:00 AM
Element79 Gold Corp. Appoints Kevin Arias as Advisor to the Board of Directors, Strengthening Strategic Leadership • ELMGF • Sep 18, 2024 10:29 AM
Mawson Finland Limited Further Expands the Known Mineralized Zones at Rajapalot: Palokas step-out drills 7 metres @ 9.1 g/t gold & 706 ppm cobalt • MFL • Sep 17, 2024 9:02 AM
PickleJar Announces Integration With OptCulture to Deliver Holistic Fan Experiences at Venue Point of Sale • PKLE • Sep 17, 2024 8:00 AM