Nio's stock is currently considered undervalued
Nio's stock has dropped significantly from its peak of $62.84 in February 2021 to around $5 today. The decline is due to slowing deliveries, shrinking margins, and increased losses, driven by supply chain issues and competition. In 2024, Nio's deliveries began to rise again, supported by stable sales of its vehicles and the launch of new models. The company also reported improved vehicle margins, which are expected to continue increasing. Despite ongoing challenges, analysts predict Nio's revenue could grow significantly in the coming years. The stock remains undervalued compared to competitors like Tesla, but uncertainties around U.S.-China relations and the EV market persist.