MASSIVE NIO News –Should You Buy At $45 Or Too Late? NIO Stock Update & Price Prediction

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NIO just released an amazing announcement from Victor Gu, the general manager of NIO’s Advanced Manufacturing Centre. At the same time we are seeing the stock being up almost 5%! Is this the rally that can take NIO back to 50+ dollar levels or is it just a trap? Let’s take a look at this, go through the latest developments and the positive announcement we saw recently and lastly look at what we can expect this coming week and whether getting into NIO right now is a good idea!

So first looking at the weekly stock chart for NIO it is clear that we are starting to find a strong support level at around 43 dollars. Every single time NIO has dropped beyond these levels it has quickly BOUNCED BACK UP. This happens because investors and especially the larger investors look at 43 dollars as a price that you just can’t resist. There is no true logic behind it but rather the number 43 looking attractive enough in their eyes where they become convinced that there is no way NIO can drop down MORE BEYOND THOSE LEVELS.

Personally I love these kinds of support levels and I do of course agree that the 43 dollars are very attractive for anyone wanting to get into NIO, but with that said I’m not too attached to it. NO matter how far NIO would drop I would still look at the company the same way as long as fundamentals haven’t changed and I think it is important for us growth investors to stay rational when investing and looking at fundamentals instead of chasing numbers in the short term. Like I always say I think this SHOULD have a higher valuation than it currently has, which leads to me buying their stock.

Anyways, the current share price has managed to bounce back up to 45 dollars and if we manage to keep hearing good news from NIO I definitely think we will be recovering the losses of last week. Of course we should all expect volatility in this stock though, and not be afraid to hold during the crazy swings we are seeing. Volatility in a stock, basically meaning that a stock goes up and down alot is usually due to investors being uncertain of how to value the company and whether we like it or not, IT IS NOT AN EASY TASK TO VALUE NIO STOCK

This however, might be starting to change soon, and that takes us to the words of NIOs Victor Gu, who is the general manager of NIO’s advanced manufacturing Centre.

At NIO’s joint-venture factory in Hefei, production has stepped up by 50 per cent, where 30 of the all-electric ES6 and the bigger ES8 premium SUV roll off the production line every hour, thus putting NIO on the path to make 120,000 electric cars a year. And as we all know NIO’s deliveries for November more than doubled from last year to 5291 cars but it is so important that they can keep up with these records to manage to meet the demand.

And that is Where Victor Gu comes in, during a recent visit to the factory in Hefei he told South China Morning Post, THAT AS ORDER VOLUMES get bigger and bigger, they WIIIILLL be able to increase their production. He went on to say that “Our plant has become like an internet celebrity because of the high degree of automation and the best technology used, which attracted a lot of visits by government officials and industry executives.

AND LASTLY, MANAGER VICTOR GU who actually joined NIO in 2016, moving from Vvo, said that PRODUCTION WILL NO LONGER BE A BOTTLENECK FOR NIO’s future growth.

Now at first sight this might not seem like too big of a deal. But if this is actually true we might be very close to seeing NIO starting to grow EXPONENTIALLY as a company. You see these guys have always struggled with meeting demand and that could be the last bit of the puzzle that finally allows them to start scaling.

When you constantly have a full order back log like NIO does the demand is certainly there. Combine that with their recent increase in operating margin and NIO can start getting closer and closer to turning a profit. And at that point the possibilities are just endless and we could see some real expansion starting to happen. Both to the US but also Europe.

So guys, this gets me REALLY EXCITED TO SEE how the December and January deliveries will look and if they can keep hitting these records and if they actually manage to INCREASE THEIR PRODUCTION to START MATCHING THE DEMANDS that would lead to NIO’s share price going up ALOT, in my opinion of course.

Because that is really the biggest reason why this stock goes up and down so much. NIO, of course looks very promising on so many aspects but until they can reach something like
10 000+ deliveries a month there will always be skeptics saying that this company is overvalued. But for those of us who BELIEVE THAT THEY WILL GET THERE VERY SOON I see the current share price as a bargain because I think it will keep going up if NIO can keep hitting the delivery records that the General Manager Victor Gu is promising.

Видео MASSIVE NIO News –Should You Buy At $45 Or Too Late? NIO Stock Update & Price Prediction канала Financial Dragon