Should I Buy Nio Stock in 2025? Canadian Investor Guide

What is Nio?

How much is Nio stock?

The price of Nio stock is rising this week. As of May 19, 2025, Nio shares trade at $3.995, showing a daily loss of 2.56% but a 3.27% gain over the past week.

Nio’s P/E ratio is -2.7, reflecting ongoing losses; there is no dividend yield, and the stock beta is 1.71, indicating above-average volatility.

Investors in California should be mindful that Nio’s price movements can be rapid, making it important to weigh high growth potential against exposure to market swings.

Our full analysis on Nio stock

Having rigorously examined Nio’s most recent financial statements and performance trends over the past three years, and having aggregated a spectrum of independent analyses—including financial, technical, and competitive data—our proprietary models reveal a nuanced but promising outlook. Our multi-factor assessment highlights several underappreciated strengths and catalysts that may influence the stock’s trajectory in the evolving global electric vehicle sector. So, why might Nio stock once again become a strategic entry point into the electric vehicle revolution as we approach 2025?

Recent Performance and Market Context

Nio Inc. (NYSE: NIO) has experienced pronounced volatility in the past year, with a notable year-to-date drawdown (-22.35%) but signs of renewed market interest reflected in a +3.27% weekly gain as of May 19, 2025. This performance comes amidst an environment where the Chinese electric vehicle (EV) market continues on an expansionary path, supported by favorable policies, sustained consumer interest, and a robust trajectory for EV adoption throughout China and select global markets.

Several recent events underscore Nio’s positive momentum:

• April 2025 Delivery Surge: The company delivered 23,900 vehicles in April, a 53% increase year-over-year, signaling continued operational growth and product demand resilience.
• Strategic Alliance with CATL: Nio’s partnership with CATL to develop the world’s largest battery swap service network demonstrates a deepening commitment to vertically integrated innovation.
• Firefly Model Launch: The introduction and delivery of the new Firefly model in late April highlights Nio’s pace of product renewal and ability to target new customer segments rapidly.

The broader sector backdrop remains constructive. China’s EV penetration is set to accelerate, backed by regulatory and infrastructure initiatives, including plans to expand battery swap stations to over 16,000 by 2025, further validating the long-term demand thesis for advanced EV producers like Nio.

Technical Analysis

A close reading of Nio’s market structure and recent price action reveals a platform for bullish inflection:

• RSI (14-day): Standing at 53.56, the RSI remains in a neutral zone, but with upward bias emerging—suggesting neither overbought nor oversold conditions, and indicating room for a sustained advance.
• MACD (12,26,9): With a marginally positive reading (0.02), the MACD hints at a subtle shift towards bullish momentum.
• Moving Averages: The 20-day moving average reflects a nascent bullish trend. While the 50-, 100-, and 200-day moving averages currently act as resistance, the stock is approaching potential breakout territory if short-term momentum persists.
• Support/Resistance: Strong support can be identified around $3.83 and $4.08, while breakouts above the $4.17–$4.35 range could ignite a more pronounced reversal, with the $4.93 level marking the next technical ceiling.
• Momentum Structure: The short-term trend has turned positive, laying the groundwork for a potential medium-term uptrend, especially if delivery and innovation catalysts continue to materialize.

Technically, Nio appears to be in the early stages of a transition from a cyclical low, offering an attractive technical entry for risk-tolerant investors seeking exposure near support with visible medium-term breakout potential.

Fundamental Analysis

From a fundamental perspective, Nio offers a dynamic blend of growth, innovation, and strategic positioning:

• Revenue Growth: Q4 2024 saw revenues of $2.7 billion (+15.2% YoY), and full-year 2024 revenues reached $9 billion (+14.96% YoY), attesting to strong execution in a competitive market.
• Operational Scale: Vehicle deliveries continue to surge, most recently highlighted by April’s 53% YoY growth. This supports the company’s climbing market share in China’s premium EV space.
• Profitability Trajectory: While net losses remain substantial, the year-over-year improvement in EPS (-$0.47, up by 6.28% YoY) points toward operational leverage as scale increases.
• Valuation Metrics: At just $3.995 per share, the stock trades at a level approximately 30% below the consensus analyst target ($5.03), providing an arguably attractive entry from a risk/reward standpoint. Although the P/E is negative (-2.7) due to ongoing losses, revenue multiples and future EPS improvement could re-rate quickly as Nio approaches breakeven—especially if margin expansion initiatives materialize.
• Innovation and Brand: Nio’s pioneering role in battery swap technology yields tangible strategic differentiation. The company's aggressive rollout of battery swap stations enhances the customer value proposition, an area where Western peers remain notably behind. Additionally, brand equity in the Chinese market, bolstered by premium positioning and after-sales service, underpins loyalty and future cross-sell opportunities.

All told, Nio’s fundamentals justify renewed attention, with core strengths that are not yet fully priced in given the company’s current market capitalization and growth profile.

Volume and Liquidity

Nio consistently trades with high, stable liquidity—averaging 53.22 million shares daily over the past three months—a volume level that underscores robust investor engagement and confidence, even amidst short-term volatility.

• Market Capitalization: At $8.6 billion, Nio’s scale remains significant, anchoring institutional participation but still offering upside compared to larger, slower-growing incumbents.
• Float Structure: With close to half of shares held institutionally, the stock benefits from a liquid yet dynamic float, facilitating valuation re-ratings in response to positive news or earnings surprises.

This sustained volume profile lends itself well both to nimble tactical trading and to strategic accumulation for portfolios seeking active tech sector exposure.

Catalysts and Positive Outlook

Looking forward, several clear catalysts may drive renewed upward momentum:

• Battery Swap Network Expansion: Nio targets coverage of 1,200 county-level divisions by the end of June 2025—a feat likely to drive both direct revenue growth and market share expansion.
• Product Pipeline: The Firefly launch is only the latest example. Ongoing product refresh cycles, and rumored further internationalization, could unlock incremental demand.
• Partnership Ecosystem: The CATL alliance and joint ventures signal a commitment to scale and value chain control—key to defending and growing margin in an increasingly crowded landscape.
• Regulatory Tailwinds: Chinese government policy continues to favor electrification, and proliferation of battery swap infrastructure speaks to continued regulatory alignment. This may provide a margin of safety as regulatory risk remains a key industry variable.
• ESG Credentials: Nio’s leadership in battery swap technology contributes positively to decarbonization goals, an important factor for institutional ESG-mandated portfolios.

Collectively, these upward drivers point to a context in which Nio seems well placed to outperform as the market narrative shifts from pessimism to growth optimism.

Investment Strategies

Investors have several avenues for positioning in Nio depending on risk tolerance and investment horizon:

• Short-term: For those focused on trading momentum, the recent bullish reversal near $3.83 support, and the stock’s renewed uptick above the 20-day average, represent ideal points for initial accumulation or tactical entries—particularly if price closes above the $4.17 resistance zone.
• Medium-term: With robust delivery momentum, anticipated new product catalysts, and an improving technical base, accumulation ahead of H2 2025 earnings or major product/news events could yield outsized returns as market expectations recalibrate.
• Long-term: For conviction-driven investors, current levels offer exposure to a leader in battery swap innovation, with substantial upside potential as profitability and free cash flow milestones approach. Nio’s discounted valuation relative to peer growth rates enhances long-term strategic appeal.

In all scenarios, prudent risk management is essential, but recent price stabilization and high liquidity suggest that downside may be increasingly limited as the stock approaches cycle lows.

Is it the Right Time to Buy Nio?

Synthesizing recent developments, Nio stands at the intersection of resilient operating momentum, clear innovation leadership, and attractive price levels vis-à-vis historical and peer benchmarks. The company’s ability to deliver robust growth—particularly in deliveries and network expansion—against a backdrop of rising sector optimism and policy support suggests the fundamentals justify renewed interest at current valuations.

With analyst targets pointing to nearly 30% upside, and a suite of operational and strategic catalysts on the near-term horizon, Nio stock may be entering a new bullish phase. The combination of volume, liquidity, and supportive technical structure offers a compelling opportunity for investors seeking dynamic exposure to the next wave of electric vehicle innovation.

In conclusion, Nio’s unique positioning, strategic execution, and improving technical and fundamental profile make it a stock that deserves close consideration for strategic entry in 2025—especially as the electric vehicle sector emerges from its latest consolidation and positions for renewed growth.

For informed investors searching for transformative growth within the global EV ecosystem, Nio’s confluence of innovation, scale, and market momentum seems to represent an excellent opportunity at this pivotal juncture.

How to buy Nio stock in CA?

Buying Nio (NIO) stock online is straightforward and secure for Canadian investors thanks to regulated brokerage platforms. You can choose between two main methods: spot (cash) buying, where you become a direct owner of Nio shares, or trading Contracts for Difference (CFDs), which let you speculate on price movements without actually owning the stock. Each method has its own benefits and fees. Below, you’ll find a practical comparison of these approaches—and a detailed broker comparison tool further down the page to help you make your choice.

Spot buying

A spot (cash) purchase means you buy Nio shares directly on an exchange, typically through a Canadian or international online broker. You become a shareholder and can participate in any future benefits, such as voting rights (though Nio currently pays no dividends). Canadian brokers usually charge a fixed commission per order, often around $5–$9 CAD.

Example

If Nio shares are priced at $3.99 USD each (roughly $5.50 CAD at recent exchange rates), with a $1,000 CAD investment (and a $5 commission), you could purchase approximately 180 shares (after fees).

Gain scenario: If the share price increases by 10%, your 180 shares would be worth $1,100 CAD.

Result: That’s a $100 gross gain, or +10% on your investment.

Trading via CFD

CFD (Contract for Difference) trading allows you to speculate on Nio’s share price without owning the physical shares. CFDs are offered by specialized brokers and let you use leverage, increasing your potential exposure. CFD trading fees typically include a spread (the difference between buy and sell prices) and overnight financing costs if you hold positions for more than a day.

Example

Suppose you open a CFD position on Nio with a $1,000 CAD deposit and 5x leverage. This gives you market exposure equivalent to $5,000 CAD.

Gain scenario: If Nio’s share price rises by 8%, your leveraged position grows by 8% × 5 = 40%.

Result: That’s a $400 gain on your $1,000 investment (before fees and possible currency conversion costs).

Final advice

Before investing, it’s essential to compare the fees, conditions, and protection offered by different brokers—costs and trading tools can vary widely. Whether you choose to buy Nio stock directly or trade via CFDs depends on your investment goals, risk tolerance, and preferred strategy. For a side-by-side broker comparison tailored to Canadian investors, check out the comparison tool further down this page. Happy investing!

Our 7 tips for buying Nio stock

The latest news about Nio

NIO delivered 23,900 vehicles in April 2025, achieving 53% year-over-year growth. This surge in deliveries underlines strong demand for NIO’s electric vehicles and points to successful execution of its sales strategy, which is particularly relevant for investors monitoring the broader EV market’s growth, including those in California who may see potential for future product access and technology transfer. Such robust delivery figures strengthen NIO’s credibility as a high-growth EV manufacturer on the global stage.

The new Firefly model began deliveries in late April, expanding NIO’s product portfolio. The launch and initial shipments of the Firefly model demonstrate NIO’s ongoing commitment to innovation and an expanding product suite, which could resonate with North American consumers seeking diverse EV options. This product-driven momentum may foster future collaborations or entry into Western markets like California, helping to diversify NIO’s revenue streams and establish brand recognition beyond China.

NIO's partnership with CATL to build the world's largest battery swap network remains a cornerstone of its strategy. This collaboration, confirmed in March but progressing aggressively, further cements NIO’s leadership in battery swap infrastructure, potentially influencing future regulatory frameworks and market openness in regions focused on rapid EV infrastructure expansion, such as California. The scalability and efficiency from such a network are expected to support both urban and rural EV adoption rates, providing a notable long-term growth lever.

NIO’s short-term technical indicators are increasingly positive, with a developing bullish trend over the past week. While the stock remains volatile, as highlighted by a 3.27% weekly gain and moving average trends turning upwards in the near term, technical sentiment is supportive for momentum-oriented investors. For financial analysts in California focused on identifying entry points for high-growth international equities, these signals suggest tactical opportunities, especially given the current discount to consensus price targets.

Analyst consensus maintains a "Hold" rating with a price target about 30% above the current stock value. Despite recent losses and competitive pressure within China, the fact that expert projections remain significantly above the current price—and with improving earnings per share quarter-over-quarter—represents a constructive outlook. For California-based investors and analysts, this gap signals potential upside as NIO demonstrates resilience and operational progress, with the caveat that risk appetite remains essential when considering exposure to the company.

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P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.