UPDATE on NIO

As many of you are aware NIO is one of my key holding and was also the biggest winner of my blog portfolio last year. Here are some key announcements on NIO day over the last weekend, 

  • NIO announced ET 7 luxury sedan and new battery technology 
  • NIO Partnered with NVIDIA to Develop a New Generation of Automated Driving Electric Vehicles. It boasts the power of 7x Tesla's computing power.
  • Battery swapping technology adopted by NIO (NIO 2.0) increases the efficiency of battery swapping and does not require a person to drive the car into the station (it does it automatically). In addition to that, the increased range of batteries, battery swapping 2.0 is going to make BaaS (Battery as Service) much more financially lucrative long-term and more efficient for customers.
  • Nio's new batteries have a range of over 600 miles in the ET7. This is unparalleled in the EV world.
  • As indicated, Aquila super sensing is the longest range and most accurate autonomous driving technology yet, making it boast 6x the resolution of Tesa's technology and the safest autonomous user experience.
  • Price: All of this capability is super competitively and impressively priced at (it sounds like) between $58,300 (with BaaS) and $81,200 (for the premium edition with battery) depending on the package and subsidies.
  • NIO is also planning for international expansion towards the en of they year to Europe.
  • NIO also announced a partnership with Qualcomm Technologies to support smart mobility designed to deliver digital cockpit and new driving and riding experiences to users.
My View: As Chinese EV market keeps growing at rapid pace NIO is expected to continue to grow its revenue and expected to be profitable in next few quarters. It is also eying international expansion later this year. NIO's technology seems to be superior to Tesla in many cases. All these factors could contribute further huge opportunity for NIO to grow. I have bought this stock since $1.50 or so and kept accumulating. I have also taken some profits but I still see huge potential ahead.

Disclaimer: This is not a suggestion to buy/sell the stock. These are solely my opinion. Each investor must due their due diligence before buying/selling any stock.


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