NIO - Blue Sky Coming - Much more than just a car

[Mehukasta]

NIO Inc. is a pioneer in the high-end electric vehicle market.

They design, manufacture, and sell smart and connected premium electric vehicles, promoting innovation in next-generation technologies in connectivity, autonomous driving, and artificial intelligence.

They offer users comprehensive, convenient, and innovative charging solutions and other user-centric service offerings.

• Power Home, home charging solution
• Power Swap, innovative battery swap service
• Power Mobile, mobile service
• Power Express, 24-hour on-demand pick-up and charging service.
• NOMI- AI – World’s first in-vehicle artificial intelligence

NIO’s Chinese name is Weilai, which means Blue Sky Coming. It reflects their vision and commitment to a more environmentally friendly future.

NIO Offices:

• Shanghai: Headquarters and R&D Center
• Hefei: Headquarters and Vehicle Assembly Plant
• Beijing: Software Research and Development Center
• San Jose: North American Headquarters and Technology Research and Development Center.
• Munich: Design and Engineering Center in Germany
• Oxford: Technical Research and Development Center in England

**Car Models:**

EP9:

https://www.nio.com/ep9

Their first developed model was the EP9 supercar, introduced in 2016.
The EP9 offers exceptional acceleration and best-in-class electric powertrain technology.

NEDC: 427 km
Acceleration 0-100 km: 2.7s
Starting Price: US$1,200,000

ES8:

https://www.nio.com/es8

The first consumer-oriented SUV is the ES8, which was introduced to the public at NIO Day in December 2017. Deliveries began in June 2018.

NEDC: 580 km (100 kWh)
Acceleration 0-100 km: 4.9s
Starting Price: US$65,000

ES6:

https://www.nio.com/es6

The NIO ES6 is a full-electric, 5-seater mid-size SUV sports car. The ES6 is NIO’s second SUV model.

NEDC: 610 km (100 kWh)
Acceleration 0-100 km: 4.7s
Starting Price: US$52,000


EC6:

https://www.nio.com/ec6

The NIO EC6 is a full-electric mid-size luxury SUV, released by NIO at the end of 2019.

NEDC: 615 km (100 kWh)
Acceleration 0-100 km: 4.7s
Starting Price: US$54,000


ET7:

NIO ET7: Our electric sedan with a range of up to 1000 km

The NIO ET7 is an upcoming mid-size full-electric Sedan, with production starting in 2021 and sales beginning in early 2022.

NEDC: 700 km (100kWh)
NECC: 1000km (150kWh)
Acceleration 0-100 km: 3.9s
Starting Price: US$69,350


NIO Sales 07/18- 03/21:

[Manubet]

[Aloittelija3]

March 30, 2021 Xiaomi announcement

On April 2, 2021, a class reunion will feature the CEOs of Xpeng, Nio, Xiaomi, BYD, and Li Auto.

Xiaomi is an investor in Xpeng and Nio.
Collaboration between Xiaomi and BYD has been rumored.
Another very strong rumor is Baidu + Geely.

Huawei and Alibaba are still coming, so the competition is tough

William Li is 100% sure about Apple’s iCar as well.

In my opinion, Xpeng, Nio, and Li Auto all have a relatively good future (1-2 years) because there’s currently a strong tailwind. Strong competition and headwinds will probably begin after 2023.

[Luke7]

Quite a nicely summarized company presentation, but I have to challenge it a bit. I didn’t quite grasp what is so special about Nio that an investor who wants to invest in the automotive industry should pay 100x more for it compared to, say, Volkswagen?

Okay, explosive growth is promised, just like for all these Tesla copies that seem to be popping up like mushrooms after rain, but what makes Nio the winner that will beat all other beautiful growth stories?

Apologies for the negative tone, but a bubble bursting is, in my opinion, a much more probable scenario than getting any reasonable return by buying at these valuation levels

[Manubet]

Once you internalize the battery swapping and BaaS (Battery as a Service) service. The starting price of the car without the battery is $10,000 cheaper, and you don’t have to worry if the battery is depleted when the replacement car comes from Nio. A serious player in autonomous driving. The ecosystem and customer service seem promising.
Government support and vehicle margins are already around 17%.

[Mehukasta]

Opening this thread for NIO is not an investment recommendation. Discussion and consideration of this company is simply easier when it’s in its own thread.

It’s always positive to have opposing arguments. Compared to Volkswagen, Nio is still in its infancy and certainly can’t yet offer the same stability. NIO is a luxury brand and has become a really big name in China. When the car reaches the American and European markets, valuation levels will rise in the long term.

[Aloittelija3]

Both Nio and Tesla were on the verge of bankruptcy in 2018 and 2019; they ran out of money back then.
If we’re talking about Nio now, the Chinese government is behind it, which provides security.
So, I believe that in the future, it won’t be about money but about how to stay competitive.

In my opinion, the ongoing cold war between China and the US is a big advantage for both Nio and Tesla.
I personally hope that VW does well because Europe is so dependent on the automotive industry.
The VW ID.4 is a really good car, and the best phone I’ve ever had is still the 3310; currently, I use an entertainment device that just happens to include a phone.
If you look at the statistics, Alibaba is a good company, but not necessarily a good investment.
In fact, I bought Nio shares by selling Alibaba.

[Luke7]

@Mehukasta

Opening a thread for NIO is not an investment recommendation. Discussion and contemplation of the company in question is simply easier when it’s in its own thread.

Of course, there’s room for threads here. I was mainly thinking out loud about how it can be so expensive, and I still can’t find any other reason for it than that NIO’s share price has almost slavishly followed Tesla since last spring.

A bad company can be a good investment if you manage to buy it cheap enough, and conversely, even the best company can be a miserable investment if bought at too high a price.

Without taking a stance on NIO as a company, I believe that the current valuation, despite the price drop, is still at least challenging. I can’t think of any other reason than EV hype for why a company that traded at a P/S ratio of 3x a year ago should now command a P/S ratio of 18x.

So, an old man here is warning the younger and more enthusiastic ones that not every dip is necessarily a buying opportunity anymore

[Markakorva]

Nio, XPeng File For Hong Kong Listings: Report
by Shanthi Rexaline

NIO Limited (NYSE: NIO) and XPeng Inc. (NYSE: XPEV) have made further progress in their endeavor to pursue a listing outside of the U.S.

What Happened: Nio and XPeng have filed regulatory applications to list their shares on the Hong Kong stock exchange, local Chinese media outlet cls.cn reported, citing people familiar with the matter.

Li Auto Inc. (NASDAQ: LI) has yet to submit its application, the report said.

Nio and XPeng spokespeople declined to comment on the report when contacted by Benzinga.

The news of the Chinese EV trio — Nio, XPeng and Li Auto — contemplating Hong Kong listings was initially broken by Reuters in early March. The Reuters report said the companies are seeking to offer 5% of their expanded share capital in a bid to raise a cumulative $5 billion.

Later on March 22, an IFR report said the companies have hired investment managers to assist with the offerings. The report further said Nio would undertake a secondary listing, while XPeng and Li Auto are forced to file for primary dual listings due to regulatory restrictions.

E: Then let’s dig into what practical difference a secondary listing vs. primary dual listing makes for a Finnish small investor…

[Markakorva]

NIO to showcase ET7 sedan at Shanghai auto show later this month

[Mehukasta]

It’s difficult to see a price based on multiples for growth stocks. Usually, a lot of future potential is already factored into these prices.
Whether the company can deliver on these “hidden multiples” will sooner or later be reflected in the share price. Investors, of course, decide whether it goes up or down.

I personally see a lot of future potential in NIO:

• Factory volumes are constantly growing
• Sales in China have grown significantly
• International sales outside of China are approaching
• The sedan model will be released in early 2022, offering a range of 1000 km per charge
• Where does all the electronics for cars come from?

If we all knew what price to pay for a stock at what multiple and when, what would happen?

Naturally, there is a risk in all stocks. Again, this is not investment advice. I encourage everyone to research the companies they invest in.

NIO has been discussed on this forum for a long time.
And you’ll surely get a lot more information about the company by sifting through the thread below the introduction.

[Aloittelija3]

It is a fact that Nio, Xpeng, and LiAuto will all be trailing Tesla in the coming year.
Copper is a good example in that sense; the price of copper itself has only doubled in a year, but related companies have seen a 5x-10x increase. Electric cars, the renewable energy industry… that’s why there’s a need for copper.

Risk and reward go hand in hand, and it took me a relatively long time to find alternative ways of seeing things. The most important thing, however, is to invest in what each person feels most confident about.

I am personally awaiting one interesting event: the hype around Nio meeting the undervalued Alibaba.

Nio Market Cap 62B, 2020 Revenue 16B + terrible-looking free cash flow.
Alibaba Market Cap 620B, 2020 Revenue 509B (~20% growth), Free cash flow 164B (~15% growth)!!

[Manubet]

@Luke7

What’s so special about Nio that an investor who wants to invest in the automotive industry should pay 100x more for it compared to, say, Volkswagen?

The concepts of Nio versus Volkswagen are quite different.
Volkswagen still has the burden of internal combustion engines. Governments no longer really want to support internal combustion engines, so consumers don’t have many options left?
Volkswagen is probably enough as a brand for a bulk electric car, but as a smart car, it remains to be seen.
The current generation is quite smart-centric.

[Aloittelija3]

https://youtu.be/lTWgQTTT7jI
Nio’s current headquarters, Anhui Hefei.

Apparently, it was a JAC Motors (JAC-motors) location and they have been collaborating since 2016.
The next factory is nearing completion, and JAC Motors (JAC-motors) is also very strongly involved in it.

JAC Motors (JAC-motors) is 50% owned by Volkswagen.

Nio’s headquarters used to be in Shanghai; they just moved to Anhui Hefei.
In 2020, the Hefei government saved Nio.
In 2018, the Shanghai government/Shanghai Tesla (Tesla) factory seems to have saved Tesla.
On July 31, 2019, Tesla saved Nio.
Nio sold equipment to Tesla and managed to raise survival funds for the next year.

[Jamppis]

NIO does not own its own factories; instead, JAC Motors (a Chinese state-owned car manufacturer) has manufactured them as a subcontractor for NIO to date. However, I understand the plan is to move away from this and build their own factories in the near future.

[Markakorva]

[niko_naakka]

Industrial park jointly built by NIO and Hefei to start construction on April 29

Li previously said its ultimate goal in China is to reach 1 million deliveries a year, and a new factory is imminent to reach that goal

NIO's William Li says second sedan will be launched in the future, more...

China's March auto sales forecast at 2.38 million units, up 64% from February

[niko_naakka]

Nio, Guangdong infrastructure giant sign 6-year agreement to build charging...

https://www.luvioni.com/nio-worth-2-trillion-dollars-in-2035/

[Markakorva]

Elon Musk

Öööö… LOL?

[Markakorva]