Feb 27th 2023 Free Analysis - NIO

Hey MPA Investors!

Just went on Instagram to announce this e-mail going out at 12:30 pm and ended up in a scrolling loop for 10 minutes. Anyone else do this? Anyway, let’s jump right in:

THIS WEEKS' MOVERS SNAPSHOT

NIO (Stock Ticker: NIO) - Is NIO "the one"? 😉 We’ve been liking electric vehicles lately. NIO is a manufacturer of electric vehicles headquartered in China.

Based on the survey from the last Chinese company we posted, you may be hesitant to invest in a Chinese company. As a beginner investor based in the US it can be scary. I get it. But it doesn’t mean there isn’t opportunity here. And investing has no borders, so let’s take a look at this company.

Why NIO?

The electric vehicle market in China has grown. A LOT. Electric Vehicles have gone from being 13% of vehicles sold in China in 2021, to around 22% of vehicles sold in China today. And more than half of all electric vehicles sold worldwide last year were sold to buyers in China. Tesla is the largest seller of electric vehicles in China with 14%. By contrast NIO holds only 2.7%. But with the expected growth in the Chinese electric vehicle market, NIO is well positioned to take advantage. The Chinese electric vehicle market is expected to grow 35% this year.

Why we feel there’s a buying opportunity:

1. NIO is releasing their Q4 (sep-dec 2022) report March 1st 2023. They delivered 40,052 vehicles in the 4th quarter of last year, which is up 60% from the same quarter in 2021.

2. With China’s Covid restrictions dropping the economy as a whole is in a recovery phase. Which has Goldman Sachs expecting a 24% increase in Chineses stocks by the end of the year. All this could spell good news for NIO.

CURRENT PRICE (as of this email): $9.31

TERMS YOU NEED TO KNOW

Bull Market -  A market in which most stocks are increasing in value. This is a general term. It doesn’t mean that certain stocks don’t go down during a bull market. They certainly do, but overall most stocks are on an upward trend. It’s not always clear whether we are in a Bull Market or not. It’s often debated by economists and analysts alike.

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See you on Thursday!Thibaud & PhilipInteresting Investment Facts: The average retirement account generates less than $400 per month for income in the “Golden Years”.

Let’s talk investment risk:

No matter what anyone tells you, every investment comes with risk. Even keeping your money in the bank comes with risk. The risk isn’t very high for keeping your money in the bank, but there’s still a risk. Believe it or not, there’s even a risk for keeping cash. You could have it stolen or in 5 years it could be worth less than it’s worth now because of inflation. So it’s important to understand the different levels of risks that come with investing of all kinds. We would not recommend investing in individual stocks as a retirement plan. If you’re interested in investing in stocks for other reasons, the analysis we give you could help. But we have to be clear, these are NOT recommendations, this is analysis. We give you the analysis similar to what pros get and you decide what to do with it. Our mission is to put the same information that the pros get, into the hands of everyday investors like you in a way that is easy to understand.