NIO: Margin Growth, Profitable, And Cheap

NIO submitted a strong Q1'26 earnings report last week, with 83,465 vehicles delivered in the first quarter and consecutive non-GAAP operating profitability. NIO's Q1 vehicle margin improved to 18.8%, positioning NIO at the high end of start-up EV peers, above XPeng and Li Auto's last reported margins. Despite operational improvements, NIO trades at a depressed 0.56X forward price-to-revenue, making it the lowest-valued Chinese EV enterprise in its group.