This Is the World’s Hottest Car Company

By Douglas A. McIntyre Published May 8, 6:35AM EDT

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This Is the World’s Hottest Car Company — © Andrei Stanescu / iStock Editorial via Getty Images

Very few Americans have heard of Nio Inc. (NYSE: NIO | NIO Price Prediction), which can count itself as one of the world’s most successful car companies. Its stock has been up 26% in the past month, while the S&P 500 has been flat.

Nio is one of China’s dozen up-and-coming car companies. Smaller than rival BYD, it still has the advantage of operating in the world’s largest electric vehicle (EV) market.

In April, Nio delivered 15,650 vehicles, which was 137% higher than the previous year. For the first four months, deliveries totaled 45,623, up 21% year over year. To increase sales in the future, the company has entered the luxury market with its E7. Management said it is “tailored to cater to the demands of premium executive users.”

In an unusual move, Nio also set up a deal to access more EV batteries. Its supplier is BYD, the largest EV company in China.

Furthermore, rumors suggest that it would introduce an inexpensive brand called Onvo. The Onvo L60 will likely compete with the Tesla Model Y. That means Nio will have a suite of vehicles that run from premium to inexpensive. (Check out the five best EVs to drive forever.)

A primary reason Chinese car stocks appear attractive is that, as Western nations reduce incredibly high tariffs on the vehicles, which could take years, they will be the low-cost EV competitors worldwide at a time when EVs are likely to recover after recent slowing sales.

Nio is doing well in China and poised to do well elsewhere.

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.