Nio sales can ‘rebound considerably’ in second half, says Deutsche Bank

Deutsche Bank analyst Edison Yu’s main takeaway following Nio‘s Q1 earnings and hosting management “is that the urgency to capture volume and cut back spending is finally here.” Underlying demand for premium battery electric vehicles has been disappointing this year with customers opting for luxury gasoline models and Li Auto extended range electric vehicles, the analyst tells investors in a research note. However, with Nio’s “broad-based” price cut and rapid roll out of new NT2.0 models, the company’s second half of 2023 sales can “rebound considerably,” paving the way for 20,000 monthly volume, says the firm. It keeps a Buy rating on the shares with a $13 price target.