- The shares of Nio Inc (NYSE: NIO) have received a $56 price target from Goldman Sachs. These are the details.
The shares of Nio Inc (NYSE: NIO) have received a $56 price target from Goldman Sachs. And Goldman Sachs analyst Fei Fang upgraded NIO to a “Buy” rating from “Neutral.”
The $56 price target from Fang was unchanged from before, but it imputed a 65% upside from the closing of the stock price prior to the research report. Fang had increased the company’s 2021-2023 revenue forecasts by 2% and 7%, respectively. This was to reflect the differentiated ET7 product launch while maintaining profit estimates and valuation.
NIO shares sold off by about 34% since July 1 and some of that weakness was NIO-specific, but some of it was macro-related. Fang believes that the positioning of the ET7 — the company’s fourth passenger vehicle model and first sedan product unveiled at the NIO Day event in January — is strategic.
The price of the ET7 makes it China’s most expensive car model ever launched by domestic manufacturers. And so Fang said that this will strengthen NIO’s brand equity in the premium space.
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