Nio Valuation
| NIO Stock | USD 5.03 0.04 0.80% |
At this time, the firm appears to be undervalued. Nio Class A secures a last-minute Real Value of $5.46 per share. The latest price of the firm is $5.03. Our model forecasts the value of Nio Class A from analyzing the firm fundamentals such as Profit Margin of (0.31) %, current valuation of 13.2 B, and Return On Equity of -1.6 as well as examining its technical indicators and probability of bankruptcy.
Undervalued
Today
Please note that Nio's price fluctuation is slightly risky at this time. Calculation of the real value of Nio Class A is based on 3 months time horizon. Increasing Nio's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Nio is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Nio Stock. However, Nio's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 5.03 | Real 5.46 | Hype 4.93 | Naive 5.68 |
The intrinsic value of Nio's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Nio's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Nio Class A helps investors to forecast how Nio stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Nio more accurately as focusing exclusively on Nio's fundamentals will not take into account other important factors: Nio Total Value Analysis
Nio Class A is now forecasted to have company total value of 13.2 B with market capitalization of 12.62 B, debt of 33.82 B, and cash on hands of 19.89 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Nio fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
13.2 B | 12.62 B | 33.82 B | 19.89 B |
Nio Investor Information
About 15.0% of the company shares are owned by institutional investors. The company recorded a loss per share of 1.63. Nio Class A last dividend was issued on the 2nd of May 2016. Based on the analysis of Nio's profitability, liquidity, and operating efficiency, Nio Class A is not in a good financial situation at this time. It has a very high probability of going through financial hardship in January.Nio Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Nio has an asset utilization ratio of 61.09 percent. This suggests that the Company is making $0.61 for each dollar of assets. An increasing asset utilization means that Nio Class A is more efficient with each dollar of assets it utilizes for everyday operations.Nio Ownership Allocation
Nio Class A maintains a total of 2.37 Billion outstanding shares. Roughly 83.03 % of Nio outstanding shares are held by general public with 2.11 pct. owned by insiders and only 14.86 % by institutional investors. Please note that on August 14, 2020, Representative Brian Mast of US Congress acquired $15k to $50k worth of Nio Class A's common stock.Nio Profitability Analysis
The company reported the last year's revenue of 65.73 B. Reported Net Loss for the year was (22.66 B) with profit before taxes, overhead, and interest of 8.18 B.About Nio Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Nio Class A. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Nio Class A based exclusively on its fundamental and basic technical indicators. By analyzing Nio's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Nio's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Nio. We calculate exposure to Nio's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Nio's related companies.NIO Inc. designs, develops, manufactures, and sells smart electric vehicles in China. NIO Inc. was incorporated in 2014 and is headquartered in Shanghai, China. Nio Inc operates under Auto Manufacturers classification in the United States and is traded on New York Stock Exchange. It employs 15204 people.
Nio Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 2.1 B | |
| Forward Price Earnings | 434.7826 |
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Nio Class A. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Is Automobile Manufacturers space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Nio. If investors know Nio will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Nio listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Nio Class A is measured differently than its book value, which is the value of Nio that is recorded on the company's balance sheet. Investors also form their own opinion of Nio's value that differs from its market value or its book value, called intrinsic value, which is Nio's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Nio's market value can be influenced by many factors that don't directly affect Nio's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Nio's value and its price as these two are different measures arrived at by different means. Investors typically determine if Nio is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Nio's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.