Nio Earnings Live Updates: Key Investing Takeaways for NIO Inventory

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We are LIVE now! Join InvestorPlace as we duvet the Nio (NYSE: NIO) third-quarter earnings name and all that it diagram for NIO stock.

Latest Updates:

Will the 100KWH Battery Pack Strengthen Competitiveness?

[Tuesday, November 17, 8:11 pm]

Contributed by Thomas Yeung

Within the Q&A, Nio management emphasised that their 100kWh battery pack would toughen competitiveness. The driving vary for its ES8 and ES6 objects could likely enhance to 382 miles.

Nio stockholders ought to silent salvage fun – that’s a bigger vary than many gasoline-driven autos.

Nonetheless don’t monetary institution too important on extended-vary batteries – it’s no longer going to be a Tesla-killer. That’s as a consequence of Tesla is furthermore working on same abilities. In June, a Tesla leak confirmed a 100kWh battery notion for its Mannequin 3 vehicles, which would enhance the auto’s vary past 400 miles. It furthermore already has the 100kWh battery available for Mannequin S vehicles.

Curb weight has repeatedly been a space for excessive-capacity batteries. The P100D battery in Tesla’s model X can weigh practically 1,700 kilos.

It’s no longer an with out yell solvable space. Even with 37% bigger vitality density than before, Nio’s batteries will silent weigh, quite actually, practically a ton.

Nio Says LiDAR Might well silent Benefit With Its AV Plans

[Tuesday, November 17, 8:09 pm]

Contributed by Sarah Smith

When evaluating its self reliant future, Nio says that it’s brooding about two things. How important time can it place its customers thru rolling out self-driving aspects? And, how many accidents can it lower thru the the same aspects? Because it considers these two key questions, it does assume that LiDAR will play a role. Alternatively, the corporate ought to resolve out the costs of these sensors and performance.

Importantly, traders in the U.S. had been very serious about LiDAR. Staunch this year now we salvage considered Velodyne Lidar (NASDAQ: VLDR) and Luminar (NASDAQ: GMHI) enter the public market.

Will Nio In-Source Manufacturing of Its AV Chip?

[Tuesday, November 17, 8:06 pm]

Contributed by Sarah Smith

Nio says that it’s no longer always able to pronounce extra facts about its subsequent-abilities self reliant driving platform, even when this can even merely salvage extra updates at some stage in its shareholder match in 2021. Importantly, this solution got here in response to a ask about whether or no longer Nio will in-source production for its self reliant driving chip.

Deutsche Bank Analyst Edison Yu Joins Q&A

[Tuesday, November 17, 8:03 pm]

Contributed by Sarah Smith

Shut followers of Nio stock could likely be interested to know that Deutsche Bank analyst Edison Yu right requested a series of questions at some stage in the Q&A session. Include in strategies, Yu honest lately launched an investor give an explanation for in response to a transient-selling characterize from Citron Evaluate. Yu had excessive hopes for the third-quarter earnings name, but his 12-month designate goal on Nio stock remains at $35. Will he elevate it after tonight?

Nio Says New Battery Packs Offer Immense Flexibility

[Tuesday, November 17, 8:01 pm]

Contributed by Sarah Smith

The 100 kilowatt hour battery pack and future, increased battery packs ought to silent furthermore relief toughen the recognition of the 70 kilowatt hour battery pack.

How? Nio says that via the brand new flexibility that incorporates its battery-as-a-carrier model, some customers will acknowledge that they very most life like want the 70 kWh pack.

And could likely merely their driving desires alternate, customers will likely be overjoyed to know they salvage got extra comprehensive choices. That is extremely crucial as Nio sees its new replace model as a solution to thrill customers and boost overall EV adoption.

Nio Is Focusing on Sedans, No longer SUVs

[Tuesday, November 17, 7:54 pm]

Contributed by Sarah Smith

Nio says that it has a comprehensive notion for its new merchandise. It started with its ES8, then the ES6 and now the EC6. The corporate says its subsequent steps will likely be to enter the sedan market, following its historical trajectory of entering varied size markets for its autos.

Importantly, this comes in response to investor hobby in new electrical SUVs or other mountainous autos. Nio says that rather than focusing on these increased merchandise, this can even merely continue its strategic notion toward smaller-size autos.

Will Nio Construct Its Have Vehicles?

[Tuesday, November 17, 7:48 pm]

Contributed by Thomas Yeung

As Nio ramps up progress in battery swap and charging stations to gas its progress, traders ought to silent starting up up questioning if the corporate will one diagram or the opposite fabricate its hold vehicles.

Chinese language automakers salvage prolonged relied on joint ventures to create autos — Geely/Volvo (OTCMKTS: VLVLY) and Brilliance/BMW (OTCMKTS: BMWYY) are right a pair among many of these partnerships.

Nio seems place of living to continue with this pattern of outsourcing production and focusing instead on marketing. Nonetheless here’s the twist: with its 100kwh battery, the corporate is now entering into new R&D exterior of its manufacturing companion’s capabilities. And since the corporate eyes global markets, this can even merely undoubtedly gaze to create autos in-condominium to toughen margins.

Nonetheless that will perhaps likely originate problems with JAC, Nio’s production companion. It’s a same myth that other Chinese language manufacturers salvage prolonged confronted — Geely’s full takeover of Volvo furthermore seems place of living for regulatory components.

With Chinese language companies caught in a world retreat, Nio’s success in Mainland China looks even extra crucial. Its battery-as-a-carrier ought to silent relief differentiate it from Tesla and other competitors.

Nonetheless longer-term traders ought to silent bewitch a lesson from failed Chinese language companies cherish Luckin Coffee: if progress seems too hasty, be definite perceived success is rooted if truth be told.

What Is Integrated in Q4 Income Steering?

[Tuesday, November 17, 7:46 pm]

Contributed by Sarah Smith

Nio believes that the in vogue selling designate of its autos in the fourth quarter will likely be same to that in the third quarter. Additionally, as a consequence of this can even merely starting up the 100 kilowatt hour battery at the discontinuance of the fourth quarter, the corporate would no longer rely on this contributing meaningfully to earnings.

This implies that the corporate’s upbeat guidance doesn’t component in both of these likely catalysts. Will we test these components play out in early 2021?

Nio Plans to Optimize Gross Margins in 2021

[Tuesday, November 17, 7:42 pm]

Contributed by Sarah Smith

Whereas Nio admits that quarterly progress in inferior margins wasn’t immense (8.4% in Q2 of 2020 to 12.9% in Q3), the corporate said that it plans to continue optimizing margins in the end because it expands its person unsuitable.

Investors ought to silent particularly admire in strategies how its battery-as-a-carrier model and other coming advancements play into this. Staunch because the U.S. is working to build out its EV charging infrastructure, the Chinese language market faces its hold challenges to wider consumer adoption.

Battery-as-a-Service Might well silent Identify New Customers

[Tuesday, November 17, 7:36 pm]

Contributed by Sarah Smith

In conserving with Nio, the initial starting up of its battery-as-a-carrier model has been a success, and the corporate expects its bewitch fee to continue bettering in the prolonged bustle. Specifically, Nio views the brand new replace model as a solution to salvage over customers thanks to the convenience component. The battery-as-a-carrier model lowers the initial cost and could likely merely relief convert a driver from damaged-down autos to the realm of EVs.

2 New Sedans Will Spherical Out Nio’s Portfolio

[Tuesday, November 17, 7:33 pm]

Contributed by Sarah Smith

To boot to the foremost new sedan utilizing its self reliant platform, Nio furthermore plans to starting up out a 2d new sedan. These new objects are the corporate’s prime be taught and pattern focuses for 2021.

Nio Will Originate A New Sedan With Some Self sustaining Skill In 2021

[Tuesday, November 17, 7:32 pm]

Contributed by Sarah Smith

Nio says the next automobile this can even merely starting up will likely be a sedan. The corporate extra said that automobile will use Nio’s self reliant driving platform, in an as-but-unspecified capacity.

Correlation Between NIO/TSLA Prices Remains Trusty

[Tuesday, November 17, 7:28 pm]

Contributed by Thomas Yeung

Investors usually query me what drives Nio stock.

On a day-to-day foundation, its part designate mirrors Tesla, the U.S. EV maker. No topic what news comes out, NIO are inclined to use TSLA carefully. Below is a correlation graph between day to day returns.

Longer-term returns are even extra carefully related. On reasonable, NIO has a 64% correlation with TSLA at the same time as you stare upon 10-day returns.

There used to be a duration of low correlation around June, but that’s when both companies traded flat — you’ll want to well perhaps likely request correlation to head to zero in these cases.

So, what does that imply for day-traders? By Nio stock, salvage your ogle on Tesla news as well.

Earnings Name Turns to Q&A Session

[Tuesday, November 17, 7:28 pm]

Contributed by Sarah Smith

The third-quarter earnings name has now transitioned into the ask-and-solution session. This follows remarks from CEO William Li and a refresher of the monetary outcomes.

NIO Inventory Remains Down in After-Hours Trading

[Tuesday, November 17, 7:26 pm]

Contributed by Sarah Smith

As after-hours procuring and selling for the day wraps up, NIO stock remains down. I mediate this could be moving to gaze how the following day to come plays out for the corporate, and to what extent sky-excessive expectations will continue to weigh on Nio.

Prep for Second Generation of Battery Swapping

[Tuesday, November 17, 7:16 pm]

Contributed by Sarah Smith

Nio continues to delay its footprint in China, including thru its battery-swapping stations. Shareholders got a if truth be told crucial replace on that abilities at some stage in the choice: CEO William Li said that the 2d abilities of these battery-swapping stations will starting up as much as roll out in the foremost half of 2021.

Nio Preps to Boost Monthly Manufacturing Skill

[Tuesday, November 17, 7:15 pm]

Contributed by Sarah Smith

Nio says that it plans to toughen its provide chain to one diagram or the opposite enhance its production capacity. By January 2021, the corporate is targeting the power to create 7,500 devices month-to-month.

100 kWh Battery Deliveries Will Commence Subsequent Month

[Tuesday, November 17, 7:14 pm]

Contributed by Sarah Smith

Nio furthermore confirmed at some stage in the third-quarter earnings name that this can even merely starting up up deliveries of its 100 kilowatt hour battery system in December 2020. This could occasionally perhaps likely merely furthermore come along with the rollout of its battery subscription services and products for new customers.

Nio Plans to Articulate Self sustaining Updates in 2021

[Tuesday, November 17, 7:13 pm]

Contributed by Sarah Smith

Nio says that at some stage in its subsequent shareholder match, traders can request updates on its “replace-leading” platform for self reliant autos. The corporate faces competition in the Chinese language self-driving car market from a handful of companies, including Baidu (NASDAQ: BIDU).

Nio Experiences Determined Money Float From Operations

[Tuesday, November 17, 7:10 pm]

Contributed by Sarah Smith

Nio announced that it has obvious cash trail from operations for the 2d sequential quarter. CEO William Li says the corporate is hopeful that this can even merely characterize same finally ends up in Q4, including obvious cash trail from operations for the entirety of fiscal 2020.

Nio Finds EV Success in China

[Tuesday, November 17, 7:07 pm]

Contributed by Sarah Smith

CEO William Li says that, one day of the final 13 months, the ES6 has been one among the supreme-selling electrical autos in China. In conserving with the corporate, here is thanks to their solid buyer following.

Nio, Xpeng and Li Auto: Which Is a Better Desire?

[Tuesday, November 17, 6:06 pm]

Contributed by Thomas Yeung

Tonight, traders will likely be drawing comparisons between Nio and its two Chinese language electrical SUV opponents: Xpeng (NYSE: XPEV) and Li Auto (NASDAQ: LI)

That’s as a consequence of both of Nio’s competitors are rising even sooner than Nio. When Xpeng reported third-quarter outcomes remaining Thursday, its stock shot up 25% at some stage in after-hours procuring and selling after it published a 343% earnings enhance from 2019. Xpeng is now up 115% for the month.

As for Li Auto stock, shares are up 82%, even supposing the corporate had to venture a purchase for over 10,000 autos earlier in November. Snappily progress can duvet a huge quantity of sins.

Nio shares, in the period in-between, are up right 68%, no topic exhibiting cheap progress.

A Rely on of Valuation

Will this pattern continue? Per chance in the quick bustle. Designate-silent traders would rapidly see that Nio’s valuation silent outstrips its mates. The corporate is value $63 billion, or $5.1 million for every car delivered in Q3 (that’s $63 billion divided by 12,200 vehicles).

How does that compare?

  • Nio: $5.1 million per car delivered
  • Xpeng: $3.6 million per car delivered
  • Li Auto: $3.3 million per car delivered

Despite the indisputable fact that Nio can urge its Q4 sales, it silent places shares at a shining top fee to competitors.

Construct vs. Desire

Investors ought to silent feel jumpy. Nio outsources its production to reveal-owned Jianghuai Car Neighborhood (JAC). In principle, that ought to silent imply a sooner ramp-up in output. It’s the the same goal why Rivian teamed up with Ford to relief with manufacturing — car manufacturing takes time to very most life like and scale.

As a replacement, Xpeng and Li Auto, which ticket their very hold autos, salvage both moved within striking distance of Nio’s sales. Each now promote over 8,000-plus devices per quarter, when compared with Nio’s 12,000-plus. Though progress will naturally expressionless as Xpeng and Li Auto scale up, it leaves them both extra as much as the label over their future production.

Global Aspirations

With its $63 billion valuation, Nio is now the sixth most treasured auto company in the aid of Tesla, Toyota, VW, Daimler and BYD. That diagram it will desire global growth aspirations to define its princely designate label — the Chinese language market is mountainous, but no longer endless.

My colleague, InvestorPlace Markets Analyst Luke Lango, has advised that global growth will power Nio stock severely bigger. And he’s staunch — no auto company has ever grown to $63 billion (in today time’s dollars) with out global aspirations. Even Henry Ford took right twelve months to delay into Canada, opening the door to the the rest of the British Empire. Ford’s first out of the country sales branch in Paris would originate very most life like three years later in 1908.

Can Nio pull this trick too? I’ll be shopping for indicators in the CEO feedback tonight.

What Affect Will High Expectations Maintain?

[Tuesday, November 17, 5:32 pm]

Contributed by Sarah Smith

Tom, I mediate you said it very most life like. There if truth be told were sky-excessive expectations heading into the third-quarter characterize from Nio, and the performance of Xpeng (NYSE: XPEV) is furthermore completely prime of strategies.

This if truth be told jogs my reminiscence of what now we salvage considered leading as much as other hotly anticipated events. Sooner than the Tesla (NASDAQ: TSLA) Battery Day starting up, Tesla stock soared on excessive expectations. Investors wished to listen to updates on 1,000,000-mile battery. Despite the indisputable fact that Tesla delivered an fabulous match with hundreds battery improvements and enormous announcements (including a $25,000 automobile), we saw the stock dip. The the same component furthermore came about with the October and November events from Apple (NASDAQ: AAPL). Despite the indisputable fact that the corporate rolled out four new iPhones and three new computer systems, traders were hoping for added.

Alternatively, in the times following these events, we positively saw Tesla and Apple pattern bigger. I mediate this could be moving to gaze what the following couple of days salvage for Nio.

Sky-High Expectations for Nio Inventory

[Tuesday, November 17, 5:19 pm]

Contributed by Thomas Yeung

Nio (NYSE: NIO) launched its eagerly anticipated Q3 outcomes after the closing bell today time. Supply numbers got here in solid, with an 18% enhance from the 2d quarter. Gross margins furthermore became obvious for the foremost time, hitting a juicy 14.5%. Ford (NYSE: F), by comparability, earns right 12.5% margins.

Investors ought to silent salvage cheered — the corporate beat both earnings and earnings estimates by a prolonged shot. But, part prices sagged 2.5% in after-hours procuring and selling, leaving traders asking, “What’s going on?”

Neatly-organized traders would know the 2 reasons.

The fundamental goal is easy: After-hours procuring and selling tends to be skinny. Without ample traders to salvage “designate discovery,” single trades of profit-taking can push stock prices down without a appropriate goal.

The 2d has to fabricate with Xpeng (NYSE: XPEV), one other EV champion. The corporate, which reported outcomes remaining week, blew expectations out of the water. Revenues increased 342% from the prior year (when compared with Nio’s 146%), and the corporate surprisingly announced an enhance to 135 gigantic-charging stations across 50 cities. Shares jumped 25% in after-hours procuring and selling.

What about Nio? Despite the indisputable fact that Wall Boulevard analysts were too bearish, Important Boulevard traders were undoubtedly hoping for even better news from the EV startup, one among the sector’s most treasured companies by market capitalization.

What will the following day to come bring for Nio stock? We’ll test tonight. With right 12,000 sales this quarter, the corporate silent has loads to train. And with Nio stock traders watching, it’s going to be an entertaining tear.

Nio Shares Are Down in After-Hours Trading

[Tuesday, November 17, 4:40 pm]

Contributed by Sarah Smith

Despite the estimate-beating characterize and upbeat guidance, Nio stock is down in after-hours procuring and selling to the tune of 3.57%. This comes after closing out fashioned procuring and selling bigger by 2.15%.

100 kWh Battery Comes Into Focal point

[Tuesday, November 17, 4:33 pm]

Contributed by Sarah Smith

Unsurprisingly, the brand new announcement of the 100 kilowatt hour battery from Nio is in focal point as section of the third-quarter earnings characterize. Nio considers it one among its prime accomplishments at some stage in the third quarter, citing its moves into a battery-as-a-carrier replace model.

You need to well perhaps likely likely also be taught extra in regards to the 100 kWh battery and what it diagram for NIO stock here.

Nio Expects 100% YOY Amplify in Deliveries for Q4

[Tuesday, November 17, 4:29 pm]

Contributed by Sarah Smith

No longer very most life like did Nio beat out estimates, it thinks that progress can continue. Surely, the corporate launched mettlesome guidance for the fourth quarter of 2020.

The fundamental enormous news is that the corporate expects to bring between 16,500 and 17,000 autos in Q4. That could likely describe bigger than 100% year-over-year progress.

The 2d foremost replace is that the corporate expects as important as 130% year-over-year progress in earnings. This comes with guidance for Q4 earnings of between $921.8 million and $947.9 million.

Nio Units New Quarterly File for Deliveries

[Tuesday, November 17, 4:23 pm]

Contributed by Sarah Smith

Nio announced that it delivered 12,206 autos at some stage in the third quarter. Importantly, this place of living a new quarterly characterize for the Chinese language electrical automobile company. Here’s a model-by-model breakdown:

  • Nio delivered 8,6660 ES6s
  • It furthermore delivered 3,530 ES8s
  • And lastly, Nio delivered 16 EC6s

It’s crucial to present an explanation for that deliveries of the EC6, the most up-to-date model from Nio, very most life like began in September. The EC6 is a crossover designed to salvage a extra sporty gaze.

Nio Inventory Earnings: What You Must Know

[Tuesday, November 17, 4:20 pm]

Contributed by Sarah Smith

  • Nio reported earnings of $666.6 million, which beat estimates for $655.28 million.
  • Income for Q3 2020 is a 146.4% enchancment from $257 million in the the same quarter remaining year.
  • Nio furthermore reported in vogue and diluted losses per American Depositary Share (ADS) of 14 cents. This consequence beats Wall Boulevard consensus estimates for losses of 17 cents per part.
  • Q3 2020 losses per part are a 60% enchancment from losses of 35 cents per part remaining year.
  • Nio furthermore reported an operating losses of 946 million yuan. That is immense enchancment from operating losses of 2.4 billion yuan in the the same quarter of 2020.
  • The earn loss got here in at 1.05 billion yuan. That is one other immense enchancment from 2.5 billion yuan in Q3 2019.

Earnings and Income Beat Estimates

[Tuesday, November 17, 4:14 pm]

Contributed by Sarah Smith

Nio reported third-quarter earnings of $666.6 million and losses per a part of 14 cents. These outcomes beat consensus estimates for earnings of $655.28 million and losses per a part of 17 cents.

Nio Inventory Closes 2.2% Higher

[Tuesday, November 17, 4:11 pm]

Contributed by Sarah Smith

NIO stock closed out the fashioned procuring and selling day bigger by 2.15% forward of its third-quarter earnings characterize. Factual after the closing bell, it launched its unaudited monetary outcomes.

The Consensus: What’s Wall Boulevard Wanting forward to?

[Tuesday, November 17, 3:12 pm]

Contributed by Sarah Smith

As traders rely on extra earnings files from Nio, it’s crucial to attain what Wall Boulevard is awaiting headed into the choice.

Currently, the consensus test is that Nio will characterize a lack of 17 cents per part on complete earnings of $655.28 million. That is more likely to be an enchancment from its third-quarter 2019 characterize, when the corporate reported a 35 cents per part loss on earnings of $257 million.

NIO Inventory Might well Be Headed for $150

[Tuesday, November 17, 3:05 pm]

Contributed by Sarah Smith

Desire a boost of self belief going into the quarterly characterize? InvestorPlace Markets Analyst Luke Lango has your aid. On Tuesday, he bigger than doubled his forecast for NIO stock, raising the value goal from $60 per part to $150.

Why? Lango is confident that Nio will bring on its global growth plans. Staunch as Tesla (NASDAQ: TSLA) has expanded its footprint in China and Europe, he thinks Nio can in an identical diagram captivate audiences out of the country. That ought to silent excite traders heading into what is also a characterize characterize from the EV company.

Here is What to Glimpse Out for Sooner than Nio Inventory Earnings

[Tuesday, November 17, 3:03 pm]

Contributed by Sarah Smith

The enormous day for Nio bulls is at remaining here! And forward of the third-quarter earnings name, tension is excessive. Investors are attempting to know right how NIO stock will create after earnings, and whether or no longer the corporate will present a clear path to bigger prices.

Importantly, loads has been going down in the aid of the scenes. Nio has continued to position of abode records and generate headlines, even when no longer all had been obvious. For occasion, a fresh give an explanation for from quick-selling firm Citron Evaluate, which got here with a bearish designate goal of $25 and serious remarks in regards to the prolonged bustle of Nio in the Chinese language market, in transient led shares to plunge on Friday.

Besides the Citron give an explanation for, InvestorPlace rounded up the supreme things for NIO stock traders to elevate their eyes on. Listed below are the tip three:

  • Deutsche Bank analyst Edison Yu says he expects Nio to characterize characterize earnings and profitability tonight. Importantly, Yu has a 12-month designate goal below the present part designate. Will tonight relief him alternate his strategies? And will others on Wall Boulevard apply suit?
  • Nio has been enormous on batteries honest lately. Will we be taught extra in regards to the corporate’s 100 kilowatt-hour battery system tonight? And will Nio salvage extra updates on how the growth of its battery-swapping program goes? Investors will are attempting to know right how well-known the battery-as-a-carrier model is for the corporate.
  • Lastly, will Nio ticket some other enormous announcements? Some traders are hoping for facts about likely new automobile objects, or extra insight on European growth plans. Severely as Tesla (NASDAQ: TSLA) heats up the market, Nio ought to continue to bring.

For extra, you’ll want to well perhaps likely likely also be taught the general list from here.

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