NIO Inc's Stock Performance

Chinese electric vehicle maker NIO Inc (HK:9866) saw a significant increase in its stock value during Hong Kong trade on Tuesday. The rise followed an upgrade from Macquarie, which cited improved expectations regarding the company's upcoming earnings.

NIO's shares rose 12.2% to HK$46.60, reflecting a 10.5% rally in its American Depository Receipts (NYSE:NIO) the previous night.

Macquarie upgraded NIO from Neutral to Outperform and raised its target price from HK$52 to HK$65.

The firm anticipates strong third-quarter earnings for NIO and expects positive guidance for the fourth quarter, driven by anticipated increases in sales volumes.

The surge in sales is attributed to the rollout of Nio's new mass-market model, the ONVO L60, which began deliveries in September. This model aims to compete with Tesla Inc's (NASDAQ:TSLA) Model Y.

Nio achieved record-high deliveries in the September quarter, selling 61,855 vehicles, amidst ongoing competition and a price war in the Chinese market.