NIO Shares Drop 5% to $4.52 as Morningstar Sees 2027 Profit
Updated
Updated · Yahoo Finance · Aug 17
NIO Shares Drop 5% to $4.52 as Morningstar Sees 2027 Profit
1 articles · Updated · Yahoo Finance · Aug 17
Summary
NIO’s U.S.-listed shares fell about 5% for the week to $4.52, their worst run in three weeks and just above a 52-week low of $4.37.
China’s EV price war, ongoing cash burn and margin pressure drove the slide, even as Morningstar said the automaker could reach breakeven in 2027 with 2.5 billion yuan in net profit.
Morningstar set a $6.50 fair value—implying 44% upside—but tagged NIO with “Very High” uncertainty, warning it may need fresh funding after at least a couple more years of cash burn.
The firm expects deliveries to rise to about 670,000 by 2030 from 326,000 in 2025, while cautioning that promotions, discounts and higher raw-material costs could dilute margins and pressure NIO’s premium brand.