Key Takeaways
Deutsche Bank raised its target price for NIO-SW (09866.HK) to HKD80 from HKD76, maintaining a "Buy" rating on expectations for the company's new ES9 electric vehicle.
"Deliveries of the new model are expected to begin at the end of May," a Deutsche Bank report stated, highlighting the vehicle's launch as a key factor. The bank anticipates average monthly sales of the ES9 will reach approximately 5,000 units after production capacity ramps up in the second half of 2026.
The positive outlook on the ES9 prompted the bank to significantly alter its financial projections for the electric vehicle maker.
The forecast revision hinges on strong consumer interest in the new ES9, a full-size smart electric SUV. The model officially commenced pre-sales on April 9 with a starting price of RMB528,000. The upcoming delivery start at the end of May will be a crucial test of market demand.
The upgrade from Deutsche Bank adds to a growing positive sentiment from analysts. Nomura recently increased its target price on NIO's US-listed shares (NIO.US) to USD8.6, also reiterating a "Buy" rating.
The improved forecast suggests the ES9 could play a pivotal role in accelerating NIO's path to profitability. Investors will be closely watching the initial delivery numbers at the end of May as the next major indicator for the company's performance.
This article is for informational purposes only and does not constitute investment advice.
