Equity Analysis /
Hong Kong

HK : NIO Inc - Competition will be the key challenge

    Ray Kwok
    Ray Kwok

    Technology Analyst

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    CGS-CIMB
    10 November 2022
    Published byCGS-CIMB

    Net loss (non-GAAP) widened in 3Q22 to Rmb3.46bn due to a large jump in RD expenses ahead of the launch of three new EV models in 4Q22F. We estimate 4Q22F EV shipments to grow 42% qoq to 45k units. We cut our EV shipment forecasts in FY22-24F due to rising competition. Maintain Add. Our TP is lower at HK$130.3 as we cut EPS forecasts, TGR and RFR due to keener competition and uncertain China economic outlook.