Earnings calendar for the week 03Jun24 - is NIO worth a shot?

KYHBKO
06-02

Earnings Calendar (03Jun24)

Let us look at NIO in detail. $NIO Inc.(NIO)$

Recent performance of NIO:

  • Revenue grew from $719 million in 2018 to $7.78 billion in 2023.

  • The 10-year median margin of gross profit is 2.7%. This is low for a product-based company.

  • The company started with an operating loss of $376 million in 2016. It ended the year 2023 with a further $3.17 billion loss.

  • Earnings per share (EPS) continue to be in the negative with 2023 ending with -$1.74. The company continues to make a loss after eight years of operations despite grants from the Chinese government.

NIO’s stock price fell over 28% from a year ago and continues to make a loss since the beginning.

Investing has given this a “Strong Buy” rating.

For the coming earnings, the forecast from investing is -$2.2 and $10.43 billion for the EPS and revenue respectively.

If the business cannot break even or reduce losses over the years, I could not shortlist the company. There has been much hype about this business and the battery swap technology can be a strong competitive advantage in the future. Without breaking even soon, I would not shortlist this company for now.

@TigerStars

At What Price Will You Bottom Nio?
Nio's Q1 revenue dropped 7.2% year-over-year and 42.1% quarter-over-quarter. After the earnings report, Nio plummeted 6.8%. ---------------- Are you still firmly holding Nio? What is the target price after the earnings report? At what price should you buy the dip?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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