CICC maintained its “Outperform Industry” rating for Nio Inc. after the electric vehicle maker reported first-quarter revenue of 25.53 billion yuan, a 112.2 percent year-over-year jump that beat expectations. The bank set a price target of HK$61.50, implying 43 percent upside from the stock's recent price of HK$42.78.
The bank’s positive outlook is supported by a strong start to the year, where Nio turned a non-GAAP net profit of 43.5 million yuan, reversing a 6.28 billion yuan loss from the same period last year. The results were driven by robust sales and improving margins.
Nio delivered 83,465 vehicles in the first quarter, an increase of 98.3 percent from a year earlier, with its ES8 SUV model being a significant contributor. The company’s vehicle margin improved to 18.8 percent, up from 10.2 percent in the first quarter of 2025. The performance stands out in a competitive Chinese EV market that has seen rivals like Li Auto and XPeng also vie for market share.
Looking ahead, Nio issued an aggressive forecast for the second quarter, projecting deliveries between 110,000 and 115,000 units, representing year-over-year growth of 53 to 60 percent. The company expects new models, including the Onvo L80 and ES9, to contribute to this momentum and projects second-quarter revenue between 32.78 billion and 34.44 billion yuan.
The strong guidance suggests management is confident that new product launches and operational efficiencies can offset pricing pressures and rising battery material costs. Investors will watch for the upcoming monthly delivery reports to see if the company can maintain its growth trajectory toward its second-quarter targets.
This article is for informational purposes only and does not constitute investment advice.
