NIO Stock Price Forecast as Company Delivers a Record 12,961 Vehicles
Despite losing 8 per cent of its value last week, NIO stock price continue to look bullish following weeks of a strong upward move that started on May 11 and has resulted in prices surging by 77 per cent.
NIO investors have been in limbo throughout the year due to fears that the company would be delisted in the US and other Chinese-based companies. According to reports, NIO stock was one of over 150 companies that the US was looking to delist from the New York exchanges. However, recent talks between the governments have quelled the delisting talk, and investors’ confidence seems to have returned.
The company was also weighed down in the early months of the year due to sluggish deliveries. However, in June, NIO was able to deliver a record 12,961 vehicles, which was an 85 per cent increase from May. Such a boost in the number of vehicles delivered may also be playing a part in the current strong bullish move.
Another factor that has resulted in the current strong bullish move is lifting the COVID restrictions in China. Earlier this year, the Chinese government announced restrictions due to rising cases of COVID. The decision saw NIO failing to meet its delivery expectations. However, since the lifting of the restrictions, the company has managed to recover quickly.
NIO Stock Price Forecast
My NIO stock price forecast expects the share price to continue with the current bullish move. There is a high likelihood that we will see the prices surge and trade above the $23 price level.
With enough momentum, I also expect the prices to continue rising in the next few trading sessions and possibly hit the $30 psychological level. My analysis will, however, be invalidated should the prices drop below the $17 support level.