JPMorgan has reaffirmed its "Overweight" rating for NIO Inc., a leading electric vehicle manufacturer, despite a recent adjustment in its price target from $8 to $7. This decision highlights the firm's persistent optimism regarding NIO's future trajectory, even in the context of anticipated underperformance within China's broader automotive sector for 2026. The company's robust delivery numbers in January 2026, showcasing nearly double the growth compared to the previous year, underscore its expanding market presence and the positive reception of its diverse model lineup, including the new Firefly and ONVO brands.
On February 9, 2026, JPMorgan's analyst, Nick Lai, revised the price target for NIO Inc. (NYSE:NIO) while maintaining an "Overweight" rating. This adjustment was made in response to a forecast projecting a challenging year for China's automotive industry, marked by a decline in passenger vehicle growth. Concurrently, JPMorgan also lowered its profitability outlook for Li Auto, attributing this to reduced sales volumes and narrower profit margins. This broader industry caution, however, did not deter JPMorgan's positive stance on NIO's stock.
NIO reported impressive delivery figures on February 1, 2026, with 27,182 vehicles delivered in January 2026, representing a substantial 96.1% increase year-over-year. This total included 2,807 units from the Firefly compact smart electric car brand, 3,481 units from the family-oriented ONVO smart EV brand, and 20,894 units from its flagship Nio premium smart EV brand. By January 31, 2026, the cumulative deliveries reached an impressive 1,024,774 units.
Furthermore, on January 16, 2026, Macquarie also upheld its "Outperform" rating for NIO Inc., simultaneously increasing its price target from $5.30 to $6.10. This upward revision was driven by a 7% increase in Macquarie's FY26 volume prediction, fueled by surging demand for the ES8 and Firefly models. Macquarie believes that achieving approximately 40% volume growth is a realistic target for NIO, even amidst expectations of a larger net loss and margin compression in FY26. Such expansion would enable NIO to significantly enhance its market share, effectively navigating the competitive landscape of China's electric vehicle sector.
NIO Inc. operates as a holding company, specializing in the design, manufacturing, and sale of electric vehicles. Its product portfolio features the high-performance EP9 supercar and the spacious ES8 seven-seater SUV. Beyond vehicle production, NIO provides comprehensive power solutions, including home charging, convenient power express valet services, access to public charging infrastructure, mobile charging trucks, and innovative battery swapping stations.
In summary, despite a conservative outlook for the broader Chinese auto market, leading financial institutions like JPMorgan and Macquarie continue to express confidence in NIO Inc.'s growth potential. Their maintained positive ratings and upwardly revised price targets reflect NIO's strong delivery performance, strategic expansion into new market segments with brands like Firefly and ONVO, and its commitment to a diverse and robust electric vehicle ecosystem. The company's ongoing innovation and market share gains are positioning it favorably within the dynamic global EV industry.