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Nio stock price prediction 2025: a 70% surge is possible

Nio stock price has had a rough year as its business faces substantial challenges, including elevated competition and losses. It was trading at $4.55 on Monday, meaning that it has dropped by about 50% this year and by over 93% from its highest level in 2020. So, will the new product launches boost the Nio share price?

Nio launches new models

Nio, a company that was seen as China’s best answer to Tesla, has been under pressure as the latter has become a $1.4 trillion behemoth. 

The company’s business has struggled as it has missed key deadlines, faced robust production from the likes of BYD, Li Auto, and BYD, and announced substantial losses.

Nio is working to reboot its business and stock. It has raised billions of dollars, which it hopes will ensure that it don’t dilute its shareholders again. 

Most importantly, the firm has expanded its product lineup. It launched Onvo, a brand that it hopes will compete more with Tesla’s Model Y. This brand has been received well, with the company expecting monthly shipments of 20,000 over time. 

Read more: Here’s why the Nio stock price HK could rebound soon

Nio launched more products during the weekend as it seeks to increase its product lineup. It launched ET9, a luxury vehicle selling for about $108,000 that it hopes will compete with brands like Porsche and Mercedes. The vehicle has a range of about 404 miles on a single charge and has more luxurious features.

Nio has also unveiled Firefly, a new brand that will be selling cheap EVs in China. The firefly brand will go for just 148,800 or about $20,000. It will seek to compete with other smaller vehicles like BMW Mini and Mercedes Smart. 

Nio hopes that more customers at the lower side of the segment will buy the vehicle as their starting point. Its price could even fall much lower if the customer decides to rent the battery.

These launches will help William Li, its founder, achieve annual sales of 440,000 in 2025. The most recent numbers showed that Nio sold 20,575 vehicles in November and over 190,832 in the first eleven months of the year. 

In addition to its growing sales, Nio is also boosting its margins as it races towards profitability. Its gross margins in the last quarter stood at 13.1%, an improvement from the 12% it made a year earlier. This means that the firm may get to Tesla’s gross margin of 18% in the next few years. 

Therefore, a combination of strong growth momentum, rising margins, growning market share, and a strong balance sheet means that the company will likely rebound in 2025.

Read more: Nio stock price could enter beast mode, thanks to these catalysts

Nio stock price forecast

The daily chart shows that the Nio share price has remained under pressure in the past few months. Its recovery stalled at $7.70 on September 30th. The stock has remained below all moving averages.

There are signs that the stock is forming a slanted triple-bottom chart pattern, a popular bullish sign. Therefore, the stock will likely bounce back and retest the triple-bottom’s neckline at $7.70, which is about 70% above the current level. It is also near the 38.2% Fibonacci Retracement level.

The post Nio stock price prediction 2025: a 70% surge is possible appeared first on Invezz

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