<Research>BOCOMI: NIO-SW (09866.HK) Reports First Positive Quarterly Operating Profit; Anticipated New Car Cycle in 2H26 to Boost Re-rating
Positive Profit Alert: NIO-SW announced a positive profit alert for 4Q25, expecting an adjusted operating profit between RMB700 million and RMB1.2 billion, marking its first positive operating profit in a single quarter.
Factors for Profitability: The anticipated profitability is attributed to increased deliveries, a higher proportion of premium products, and improvements in cost efficiency, demonstrating the effectiveness of its business model.
Future Outlook: While profit fluctuations are expected in 1H26 due to seasonal factors and cost volatility, the launch of new large SUVs in 2H26 is anticipated to enhance gross margins.
Broker Ratings: Nomura maintained a Neutral rating for NIO's 4Q25 results and a Buy rating for NIO-SW, with target prices set at US$8 for US stocks and $62.75 for H-shares, emphasizing the importance of the new car cycle for valuation re-rating.
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NIO-SW: Chinese Investors to Acquire 27.3% Stake in Subsidiary Shenji for RMB2.26 Billion
Investment Announcement: NIO-SW's subsidiary, GeniTech Co., Ltd. (Shenji), has secured investments totaling RMB2.257 billion from certain investors in China for newly issued shares.
Equity Structure: After the investment, NIO-SW will maintain a controlling interest of 62.7% in Shenji, while the investors will hold 27.3% of Shenji's equity.
Short Selling Data: NIO-SW has reported short selling of $69.61 million, with a short selling ratio of 28.080%.
Analyst Coverage: Guotai Haitong Securities has initiated coverage on NIO-SW, giving it an overweight rating.
NIO-SW Collaborates with Bosch to Enhance Key Technologies in Smart Electric Vehicles for Three Leading Brands
Strategic Cooperation: NIO-SW has entered a strategic cooperation agreement with Bosch, focusing on their three major brands: NIO, ONVO, and Firefly, to enhance core technologies for intelligent electric vehicles (EVs).
Technology Collaboration: The partnership will involve collaboration on key technologies such as drive-by-wire chassis, battery management, brake control, steering systems, drive systems, and body electronics & sensing modules.
Guotai Haitong Securities Begins Coverage of NIO-SW with an Overweight Rating
Sales Performance: NIO-SW has experienced a surge in sales volume and high-priced model sales, achieving quarterly earnings for the first time in 4Q25, according to Guotai Haitong Securities.
Revenue and Profit Projections: Guotai Haitong Securities estimates NIO-SW's operating revenue for 2025-27 to be RMB87 billion, RMB130.6 billion, and RMB161.4 billion, with projected net profits of RMB16.9 billion, -RMB3.5 billion, and RMB600 million respectively.
Analyst Coverage: Guotai Haitong Securities has initiated coverage on NIO-SW, setting a target price of HKD50.59 and assigning an Overweight rating.
Market Data: As of February 23, 2026, NIO-SW's short selling amounted to $31.59 million with a ratio of 17.689%.
NIO-SW Achieves Record 176K Battery Swaps in One Day, Reaches All-Time High for Four Consecutive Days
Battery Swap Record: NIO set a new record with nearly 176,000 battery swaps in a single day, averaging less than 0.5 seconds per swap.
Growth in Infrastructure: The company has established over 8,600 battery swap and charging stations across 550 cities in Mainland China since the start of the Lunar New Year.
HSI Rises 138 Points in Half-Day Trading as CMOC/LAOPU GOLD Jumps 6% After Blue Chip Inclusion; Overall HSI Increases 32% in Year of the Snake
Hong Kong Stock Performance: On February 16, Hong Kong stocks saw a positive half-day session, with the HSI closing up 138 points (0.5%) at 26,705, marking a strong overall performance in the Year of the Snake with a 32% gain.
HSI Quarterly Review Changes: The quarterly review of the HSI included the addition of CATL, CMOC, and LAOPU GOLD, which saw significant gains, while ZHONGSHENG HLDG was removed from the index.
Individual Stock Movements: Notable stock movements included SANDS CHINA LTD rising 2.7% despite a slight decline in property EBITDA, while ANTA SPORTS experienced a minor drop after shareholder approval for a significant acquisition.
US Department of War Update: The US Department of War's withdrawal of the "List of Chinese Military Companies" impacted stock prices, with BABA-W declining 0.5% and BIDU-SW increasing by 1.3%.
NIO-SW Battery Swap Business Achieves Record Daily Volume Year-to-Date
Battery Swap Milestone: NIO-SW announced a record daily battery swap volume of over 146,600, achieving its 100 millionth battery swap earlier this month, indicating strong market validation for its battery swapping model.
Market Position: The battery swapping solution has become a mainstream method for charging in China's new energy vehicle (NEV) sector, reflecting a significant shift in consumer preferences.
NIO-SW: Chinese Investors to Acquire 27.3% Stake in Subsidiary Shenji for RMB2.26 Billion
Investment Announcement: NIO-SW's subsidiary, GeniTech Co., Ltd. (Shenji), has secured investments totaling RMB2.257 billion from certain investors in China for newly issued shares.
Equity Structure: After the investment, NIO-SW will maintain a controlling interest of 62.7% in Shenji, while the investors will hold 27.3% of Shenji's equity.
Short Selling Data: NIO-SW has reported short selling of $69.61 million, with a short selling ratio of 28.080%.
Analyst Coverage: Guotai Haitong Securities has initiated coverage on NIO-SW, giving it an overweight rating.
NIO-SW Collaborates with Bosch to Enhance Key Technologies in Smart Electric Vehicles for Three Leading Brands
Strategic Cooperation: NIO-SW has entered a strategic cooperation agreement with Bosch, focusing on their three major brands: NIO, ONVO, and Firefly, to enhance core technologies for intelligent electric vehicles (EVs).
Technology Collaboration: The partnership will involve collaboration on key technologies such as drive-by-wire chassis, battery management, brake control, steering systems, drive systems, and body electronics & sensing modules.
Guotai Haitong Securities Begins Coverage of NIO-SW with an Overweight Rating
Sales Performance: NIO-SW has experienced a surge in sales volume and high-priced model sales, achieving quarterly earnings for the first time in 4Q25, according to Guotai Haitong Securities.
Revenue and Profit Projections: Guotai Haitong Securities estimates NIO-SW's operating revenue for 2025-27 to be RMB87 billion, RMB130.6 billion, and RMB161.4 billion, with projected net profits of RMB16.9 billion, -RMB3.5 billion, and RMB600 million respectively.
Analyst Coverage: Guotai Haitong Securities has initiated coverage on NIO-SW, setting a target price of HKD50.59 and assigning an Overweight rating.
Market Data: As of February 23, 2026, NIO-SW's short selling amounted to $31.59 million with a ratio of 17.689%.
NIO-SW Achieves Record 176K Battery Swaps in One Day, Reaches All-Time High for Four Consecutive Days
Battery Swap Record: NIO set a new record with nearly 176,000 battery swaps in a single day, averaging less than 0.5 seconds per swap.
Growth in Infrastructure: The company has established over 8,600 battery swap and charging stations across 550 cities in Mainland China since the start of the Lunar New Year.
HSI Rises 138 Points in Half-Day Trading as CMOC/LAOPU GOLD Jumps 6% After Blue Chip Inclusion; Overall HSI Increases 32% in Year of the Snake
Hong Kong Stock Performance: On February 16, Hong Kong stocks saw a positive half-day session, with the HSI closing up 138 points (0.5%) at 26,705, marking a strong overall performance in the Year of the Snake with a 32% gain.
HSI Quarterly Review Changes: The quarterly review of the HSI included the addition of CATL, CMOC, and LAOPU GOLD, which saw significant gains, while ZHONGSHENG HLDG was removed from the index.
Individual Stock Movements: Notable stock movements included SANDS CHINA LTD rising 2.7% despite a slight decline in property EBITDA, while ANTA SPORTS experienced a minor drop after shareholder approval for a significant acquisition.
US Department of War Update: The US Department of War's withdrawal of the "List of Chinese Military Companies" impacted stock prices, with BABA-W declining 0.5% and BIDU-SW increasing by 1.3%.
NIO-SW Battery Swap Business Achieves Record Daily Volume Year-to-Date
Battery Swap Milestone: NIO-SW announced a record daily battery swap volume of over 146,600, achieving its 100 millionth battery swap earlier this month, indicating strong market validation for its battery swapping model.
Market Position: The battery swapping solution has become a mainstream method for charging in China's new energy vehicle (NEV) sector, reflecting a significant shift in consumer preferences.
