Latest news with #ONVOL60
Yahoo
16-07-2025
- Automotive
- Yahoo
Will NIO's Multi-Brand Strategy Come to Fruition With ONVO in 2025?
NIO Inc. NIO introduced its smart electric vehicle sub-brand, ONVO, in May 2024, to kick-start the company's transition into a multi-brand strategy. Designed to deliver an optimized ownership experience and exceptional value, ONVO's first model, the L60, officially entered the market on Sept. 28, 2024. Praised for its safety, spaciousness, class-leading energy efficiency and user-friendly charging experience, the L60 has resonated strongly with family customers. In the first four months of 2025, the ONVO L60 ranked among the top three best-selling battery electric vehicles in the RMB 200,000-300,000 price range. In the second quarter of 2025, the ONVO brand delivered 17,081 units, up from 14,781 vehicles delivered in the first quarter of brand's second model, the L90, a flagship large family SUV, will debut at the end of July, with deliveries commencing on Aug. 1, 2025, in China. A third ONVO SUV is set to launch in the fourth quarter, completing a more comprehensive SUV portfolio aimed at mass-market strong product reception, ONVO's overall sales performance this year has fallen short of the company's expectations, partly due to amortization and other financial pressures. Managing ONVO's operations and vehicle margins has proven challenging for the company. The key driver of gross vehicle margin for the ONVO brand is not expected to materialize until the third quarter. The company projects ONVO's 2025 vehicle margin to be approximately 15%, lower than the vehicle margin of 20% expected from the NIO brand. NIO carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks slower-than-expected EV adoption and the launch of affordable models, competition in the EV market is intensifying. NIO ONVO L60 is currently competing with Tesla's TSLA Model Y and XPeng's XPEV G6. Tesla Model 3/Y has reported a year-over-year decline in second-quarter deliveries due to lower demand amid rising competition. Tesla delivered 373,728 Model 3/Y in the second quarter of 2025, down from 422,405 units in the corresponding quarter of 2024. Priced at $14,000 less, NIO ONVO L60 has emerged as a strong budget-friendly rival of Tesla Model Y. On Feb. 26, XPeng unveiled official images of its refreshed 2025 G6 model. One of the G6's key competitive strengths over rivals like the ONVO L60 is its pricing. The XPeng G6 580 Long Range Plus is available for under 180,000 RMB. In comparison, the ONVO L60 60kWh rear-wheel-drive variant requires an upfront payment of nearly 150,000 RMB, plus a monthly battery rental fee of 599 RMB. NIO's Price Performance, Valuation and Estimates NIO has outperformed the Zacks Automotive-Domestic industry year to date. NIO shares have lost 2.5% compared to the industry's decline of 6.5%. YTD Price Performance Image Source: Zacks Investment Research From a valuation perspective, NIO appears overvalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 0.56, higher than its industry's 0.45. Image Source: Zacks Investment Research EPS Estimates Revision The Zacks Consensus Estimate for 2025 and 2026 EPS has moved up 2 cents and down 3 cents, respectively, in the past 30 days. Image Source: Zacks Investment Research Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Tesla, Inc. (TSLA) : Free Stock Analysis Report NIO Inc. (NIO) : Free Stock Analysis Report XPeng Inc. Sponsored ADR (XPEV) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
24-03-2025
- Automotive
- Yahoo
China's Nio reports 32.5% increase in net loss in Q4 2024
Nio, a provider of smart electric vehicles, has reported a widened net loss of 7.11bn yuan ($974.3m) in the fourth quarter of 2024, ended 31 December. The net loss, which represents a 32.5% increase from 5.36bn yuan reported for the same period a year ago. The loss was driven by higher research and development and marketing costs, which outweighed the gains from increased deliveries and revenue. Excluding share-based compensation expenses, adjusted net loss (non-GAAP) was 6.62bn yuan ($907.2m) in the fourth quarter of 2024, representing a year-on-year increase of 37.9%. For full year net loss stood at 22.4bn yuan ($3.06bn), compared with 2023 net loss of 20.71bn yuan. Total revenues for Q4 2024 increased by 15.2% compared to Q4 2023, reaching 19.7bn yuan ($2.69bn). Gross profit also saw a significant jump of 80.5% compared to Q4 2023, amounting to 2.30bn yuan ($316.3m). The gross margin improved to 11.7%, up from 7.5% in the fourth quarter of 2023. Total revenues for 2024 stood at 65.73bn yuan ($9bn), marking 18.2% increase from the same period a year ago. In the fourth quarter, vehicle sales rose to 17.47bn yuan ($2.39bn), marking a 13.2% increase year-over-year. However, the company's loss from operations was 6.03bn yuan ($826.5m), an 8.9% decrease from the fourth quarter of 2023. For the full year of 2024, vehicle sales were up by 18.2%, totalling 58.23bn yuan ($7.97bn). The annual vehicle margin improved to 12.3%, and the gross profit for the year more than doubled from the previous year, reaching 6.49bn yuan ($889.5m). Nio founder, chairman and CEO William Bin Li said: 'In 2024, we achieved a new delivery record of 221,970 vehicles. Throughout the year, Nio brand maintained its position as the leader in China's BEV market for vehicles priced over 300,000 yuan, capturing a 40% market share. The market share of the ONVO L60 have been steadily increasing since its launch, securing a top-three position in China's BEV SUV market priced between 200,000 yuan and 300,000 yuan." Looking ahead to the first quarter of 2025, Nio anticipates vehicle deliveries between 41,000 and 43,000, a significant increase from the same quarter in 2024. William Bin Li added: 'This year marks the beginning of a new product cycle for our three brands. Nio brand will further solidify its premium positioning by introducing more technology and experience-driven products. 'ONVO brand, targeting the mainstream mass market, will concentrate on increasing its sales volume and enriching its product portfolio. Firefly's model will be officially launched and begin deliveries in April, serving as a key driver for our future international expansion. 'Additionally, we are continuously advancing our assisted and intelligent driving capabilities and have made breakthroughs in our Nio WorldModel architecture, which will be gradually rolled out to cover all driving scenarios.' The company also projects total revenues to be between 12.36bn yuan ($1.69bn) and 12.85bn yuan ($1.76bn), marking a substantial year-over-year growth. Niochief financial officer Stanley Yu Qu said: 'Looking ahead to 2025, we will sharpen our focus on enhancing profitability by driving cost reductions through technological advancements, optimising operational efficiency and accelerating scalable growth.' Recently, China's EV battery manufacturer Contemporary Amperex Technology Company Limited (CATL) and Nio collaborated for the development of EV battery swapping network. "China's Nio reports 32.5% increase in net loss in Q4 2024" was originally created and published by Just Auto, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
Globe and Mail
19-03-2025
- Automotive
- Globe and Mail
Nio Is About to Report Q4 Earnings This Week. Here's What to Expect
Chinese electric vehicle (EV) maker Nio (NIO) is scheduled to announce its fourth-quarter results on March 21. NIO stock has risen 19% year to date due to improving deliveries and optimism about the company's Onvo and Firefly sub-brands. Wall Street expects Nio to report a loss per share of $0.31 on revenue of $2.80 billion. Nio previously guided for Q4 revenue between RMB 19.68 billion ($2.7 billion) and RMB 20.38 billion, reflecting year-over-year growth of 15% to 19.2%. Light Up your Portfolio with Spark: Easily identify stocks' risks and opportunities. Discover stocks' market position with detailed competitor analyses. In Q4 2024, Nio delivered 72,689 vehicles, within its guidance range of 72,000 to 75,000 vehicles and reflecting a 45.2% year-over-year growth. While Nio's Q4 revenue is expected to gain from higher deliveries, lower prices amid intense competition are expected to weigh on the top line. Meanwhile, investors will be keen on management's commentary on the demand for the models under the Onvo sub-brand and the impact of tariffs in Europe. The ONVO L60 witnessed 19,929 deliveries in Q4 2024. L60 is more affordable than the U.S. EV giant Tesla's (TSLA) Model Y in China. Investors' focus will also be on improvement in Nio's vehicle margins and progress on its path towards profitability. Heading into the earnings, Nio stock gained 3.2% on Tuesday, as the company announced a partnership with CATL to establish a massive battery-swap network. Analysts' Sentiment Ahead of Nio's Q4 Earnings Ahead of the Q4 earnings, Bernstein analyst reiterated a Hold rating on NIO stock and lowered the price target to $4.50 from $5.30, reflecting a downside risk of 13.3% from current levels. Likewise, Mizuho analyst Vijay Rakesh reaffirmed a Hold rating on NIO stock with a price target of $5, indicating a possible downside of about 4%. Last month, Bank of America analyst Mind-Hsun Lee lowered his price target for Nio stock from $6 to $5 and reiterated a Hold rating. The 5-star analyst expects Nio's higher volumes to be partially offset by slower margin expansion and increased operating expenses. Options Traders Anticipate Major Move on Nio's Q4 Earnings Using TipRanks' Options tool, we can see what options traders are expecting from the stock immediately after its earnings report. The expected earnings move is determined by calculating the at-the-money straddle of the options closest to expiration after the earnings announcement. If this sounds complicated, don't worry, the Options tool does this for you. Indeed, it currently says that options traders are expecting about 10.4% move in either direction in reaction to Nio's Q4 2024 results. Is NIO a Good Stock to Buy? Given the ongoing challenges, Wall Street is sidelined on Nio stock, with a Hold consensus rating based on one Buy, five Holds, and one Sell recommendation. The average NIO stock price target of $5.21 indicates that the stock is fully valued at current levels. See more NIO analyst ratings Disclosure
