Nio (NIO) is a Chinese electric vehicle (EV) manufacturer specializing in smart, high-performance electric vehicles and related technologies. It designs and develops premium electric SUVs and sedans, alongside battery-swapping technology and autonomous driving solutions. Nio has expanded internationally, serving markets in China, Europe, and the U.S., and is known for its innovative business model, including Battery as a Service (BaaS).
Founded in 2014, the company has its headquarters in Shanghai, China.
About NIO Stock
NIO stock has delivered a strong performance in 2025, rising approximately 41% year-to-date, significantly outperforming the Hang Seng Index’s 26% gain. The electric vehicle maker benefits from growing demand in China’s EV market and expanding international presence. Technical indicators show positive momentum as the stock has recently reached new 2025 highs.
Nio Posts Q1 Results
Nio reported its first quarter 2025 financial results with an EPS loss of $0.45, wider than the analyst consensus estimate of a $0.22 loss. Revenue rose 21.5% year-over-year (YoY) to approximately $1.66 billion but fell short of analyst expectations. Despite growing sales, Nio reported a net loss of about $930 million, a 30.2% increase from Q1 2024. Vehicle margin improved to 10.2%, up from 9.2% in the prior year, while gross margin reached 7.6%.
Other financial highlights include a 42.1% decline in deliveries quarter-over-quarter (QoQ) and an operating loss of RMB 6.42 billion, reflecting ongoing pressure from pricing and increased costs. Vehicle deliveries increased 40.1% to 42,094 units compared to the same period last year. Nio completed a significant equity placement and launched new products, including Firefly models, while implementing cost control measures and streamlining operations.
Looking ahead, Nio expects deliveries between 72,000 and 75,000 vehicles in Q2 2025, signaling 25.5% to 30.7% growth YoY. The company aims to achieve breakeven and double-digit gross margins by Q4 2025, supported by new product launches, improved cost efficiency, and a strategic focus on higher-margin sales models.
Nio Unveils ES8 Model
NIO officially unveiled the All-New ES8 on Thursday at a pre-launch event in Chengdu. The premium flagship three-row SUV is available for pre-orders ahead of a late September launch. The new ES8 is being offered in six-and seven-seat Executive Premium and Executive Signature Editions, priced at RMB 416,000 ($58,170) and RMB 456,800 ($63,875) respectively.
The starting price for the base ES8, RMB 308,800 ($43,177), is lower than the starting price for the Tesla (TSLA) Model Y L six-seat SUV, RMB 339,000 ($47,400). The new ES8 is being marketed in Europe as the EL8 due to a trademark dispute with Audi.
NIO has introduced promotional incentives, including pre-order deposit discounts and exclusive repurchasing benefits for existing owners. The redesigned ES8 expands from a mid-large to a full-size SUV to become the largest battery-electric SUV in China. Built on NIO's12 full-stack technological capabilities, it was highlighted by the company as combining an expressive third generation "Design for Success" philosophy with premium materials, bespoke interiors, and airplane-style zero-gravity seating configurations.
In terms of performance, the ES8 model is powered by NIO's latest 900V high-voltage architecture, a 102-kWh battery, and dual motors producing 520 kW and 700 N·m of torque, enabling 0-100 km/h acceleration in 3.97 seconds and a CLTC range of up to 635 km.
Shares of Nio are up 10% since Thursday following the announcement.
Is NIO Stock a Buy?
Now, despite the strong market reaction to the news, analysts' coverage tells us a different story. Analysts remain cautious with the stock with a consensus “Hold” rating with a mean price target of $4.63, which is well below its trading level, reflecting a downside potential of 24% from now.
The stock has been reviewed by 17 analysts while receiving two “Strong Buy” ratings, two “Moderate Buy” ratings, 12 “Hold” ratings, and one “Strong Sell” rating from Wall Street.
