China’s Tesla, Nio (NYSE: NIO) has reported its fifth consecutive month of delivery gains, which could raise its outlook with investors as the company scours for funding.

The Chinese electric-car startup sold 3,170 vehicles in December, consisting of 2,537 ES6s and 633 ES8s. The total represents a 25.4% increase from November, when Nio delivered 2,528 cars, according to their company statement.

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Can improved product quality and expanded sales network really “drive” shares price up?

The company attributed its performance to product quality, expanded sales networks and a loyal user base. It also bucks general contractions in China’s overall auto market lasting almost a year and a half, as well as in new energy vehicles sales, which shrank for the fifth month in November, according to the China Association of Automobile Manufacturers.

The sales data come as a boon to cash-strapped Nio, once thought to be China’s answer to U.S.-based Tesla, as it seeks new funding to fuel growth. The company’s founder Qin Lihong had previously hinted pessimism, saying that a breakthrough in securing new investment is unlikely in the short term.

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The release of the December sales data comes a week after Nio reported a narrower-than-estimated third-quarter loss. For the three months through September, the New York-listed company posted a net loss of $352.8 million, 10.3% less than in the same period in 2018. It also grew its revenue by 25% to $257 million in this period.

“December marked the fifth consecutive month of increasing deliveries for Nio despite the continuous softness of the overall auto industry….and in particular, the significant decline of the electric vehicle sales in the second half of 2019.”

William Bin Li, CEO of NIO

But headwinds are growing. Tesla’s drive to localize sourcing for electric cars for the Chinese market could lead to significantly lower prices and bigger market share in 2020. Nio plans to start selling a smaller electric “coupe” SUV next year, as Tesla begins to churn out locally made Model 3 sedans in China.

Despite the positive news, investors seems to have a different opinion regarding where the share price as reflected from the graph above. Could this be a good buy this week?

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