Why is NIO going up today?

On June 1st, 2020, electric vehicle maker NIO is trading 7% higher than Friday’s close.

NIO is beginning to soar as analysts say that NIO’s vehicle sales has doubled during the past few months allowing them to accelerate their June deliveries.

In this previous article I wrote Nio reportedly sold more vehicles in the month of April than Tesla in China, gaining NIO a 23% market share. According to my last article, Nio reportedly sold 7,404 vehicles in April compared to 6,711 as of May.

Nio has reported that due to the semiconductor chip shortages, their vehicle delivery was adversely impacted for several days in May. But, Nio says that based on current productions and delivery plans, they will be able to accelerate the delivery in June to make up for the delays from May.

Overall, 6,711 is a 95% increase of vehicles sold compared to last year.

Nio maintained and reiterated the delivery guidance of 21,000 to 22,000 vehicles for Q2 of 2021.

Citigroup upgrades NIO as a Buy

Citigroup has upgrade Nio to a Buy from Neutral with a price target of $58.30, a 51% upsoar.