Nio’s Overweight Rating Reiterated Despite Guidance Cut
<p>Morgan Stanley reiterated its Overweight rating and $16.10 price target on <a href='https://financialmodelingprep.com/financial-summary/NIO'>Nio Inc. (NYSE:NIO)</a> after the Chinese electric vehicle maker announced a cut in its Q4 delivery guidance to 38.5-39.5k units (from 43-48k). The analysts noted that the guidance cut was mainly due to disruptions in deliveries and production caused by the Covid-19 pandemic, as well as ongoing supply constraints due to rising Covid cases in major cities. </p>
<p>The analysts added that while the guidance cut may impact NIO's stock performance, it should not trigger a sharp sell-off, as the impact of China's reopening is likely to be sector-wide and transitional. The analysts expect that in the coming months, the market will focus on the resurgence of store traffic and order intake.</p>

NYSE:NIO