Will Onvo And Firefly Boost Nio Stock In 2025?

Nio's Performance and Market Position - Nio reported record deliveries of 31,138 vehicles in December 2024, marking a 73% year-over-year increase and a 51% increase from November 2023 [1] - Li Auto delivered 58,513 vehicles in December 2024, a 16.2% year-over-year increase, while Xpeng sold 36,695 vehicles, up 82% year-over-year [1] - Nio's Onvo brand sold 10,528 vehicles in December 2024, up from 5,082 units in November, with the Onvo L60 priced between RMB 200,000 ($28,000) and RMB 300,000 ($42,000) [2] Nio's Brand Expansion and Product Strategy - Nio launched the Onvo brand in late September 2024, targeting the value-priced segment, with plans to introduce two SUVs in 2025 to compete with Li Auto's Li L8 and Li L7 [2] - Nio introduced the Firefly brand, targeting the high-end compact car market in China, with pre-sales starting at 148,800 yuan ($20,500), aiming to compete with BMW's Mini and Mercedes Smart series [2] - The Firefly brand could help Nio expand in Europe, where compact cars dominate the automotive market [2] Nio's Valuation and Growth Prospects - Nio's stock trades at about$4.50 per share, or roughly 1x consensus 2024 revenues, which is low compared to Tesla's 13x revenues, despite Nio's projected revenue growth of over 20% in 2024 and over 40% in 2025 [3] - Nio's valuation is attractive given its growth prospects, with revenues expected to grow significantly in the coming years [3]