Nio (NYSE:NIO) stock is a hot topic among traders on Monday after Citi analyst Jeff Chung weighed in on the electric vehicle (EV) company’s shares.
In a recent note to clients, Chung reiterated his “buy” rating for shares of NIO stock. That’s a bullish stance to take on NIO compared to the analyst consensus rating of “hold” which is based on 10 opinions.
In addition to that reiterated rating, the Citi analyst increased his price target for NIO stock from $13.90 per share to $19.20 per share. To put that in perspective, the analyst consensus price prediction for NIO is $13.28 per share. The new Citi target also represents a potential upside of around 30% for the stock over the next 12 months.
What’s Behind the Bull Stance on NIO Stock?
Here’s a portion of the note Chung sent to clients concerning Nio that was obtained by StreetInsider:
“We remove the High Risk rating as the stock now has a long trading history, with full-year sales volume potentially exceeding 200k units this year. We believe the company’s corporate governance and long-term growth visibility have also improved.”
Following the note on NIO today, more than 18 million shares have changed hands. That’s still a ways off from its daily average trading volume of about 63 million shares. The price of NIO stock is also largely unchanged as of Monday morning.
Investors keeping an eye out for more of the most recent stock market news will want to stick around!
We have all of the latest stock market coverage that traders need to know about on Monday! Among that is a new rating for DraftKings (NASDAQ:DKNG) stock, Palantir (NYSE:PLTR) preparing for its next earnings report and Sovos Brands (NASDAQ:SOVO) stock rising on an acquisition deal. You can read up all about these matters at the following links!
More Stock Market News for Monday
- DKNG Stock Alert: Wells Fargo Just Upgraded DraftKings
- Palantir (PLTR) Stock Is on Watch Ahead of Earnings
- SOVO Stock Alert: Campbell Soup Is Buying Sovos Brands for $2.7 Billion
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
