Nio's Onvo L90 SUV Drives Share Price Up 11% Amid Pre-Sales Buzz and Upcoming Rival from Li Auto

Nio shares jumped 11% as buzz builds around its new Onvo L90 SUV. Pre-sales kicked off on July 10, with deliveries starting August 1 in China. The SUV comes in a $39,000 complete pack and a $27,000 battery-subscription model. Morgan Stanley's Tim Hsiao remains bullish, keeping his Buy call and $5.90 target, citing 30K-35K pre-orders and the potential for 5K monthly sales if Nio executes smoothly.

Nio Inc. (NIO) shares surged by 11% on July 2, 2025, as excitement builds around the upcoming launch of its Onvo L90 SUV. The vehicle, slated for delivery on August 1 in China, has sparked considerable interest among investors and consumers alike.

The Onvo L90, a three-row electric SUV, is priced at RMB 279,900 ($39,000) for the complete pack and RMB 193,900 ($27,000) under Nio's battery rental model. The SUV features a 17.2-inch infotainment screen, rear-seat entertainment, and a built-in refrigerator, among other high-end amenities. It is powered by an 85-kWh battery pack, offering a CLTC-rated range of 605 km (367 miles) and runs on Nio's next-gen 900V platform for improved efficiency.

Pre-sales for the L90 began on July 10, with Nio reporting between 30,000 and 35,000 pre-orders within four days of the pre-launch event in Hefei [2]. Morgan Stanley analyst Tim Hsiao remains bullish on the L90, maintaining his Buy call and $5.90 target, citing the potential for 5,000 monthly sales if Nio executes smoothly [2].

The L90 is set to compete directly with Li Auto's i8, which is scheduled for launch on July 29. The i8 will be priced between RMB 350,000 and RMB 400,000 ($48,750–$55,700), making it roughly 25% more expensive than the L90 [3].

Nio's stock has outperformed the Zacks Automotive-Domestic industry year to date, with shares gaining 14.9% against an industry decline of 7.2% [3]. However, the company appears overvalued, trading at a forward sales multiple of 0.66, higher than the industry's 0.45 [3].

The L90's fast market entry and competitive pricing position it as a strong contender in the growing electric vehicle market. Nio's ability to deliver on its promises and execute smoothly will be critical in determining the success of the L90 and its impact on the company's share price.

References:
[1] https://finance.yahoo.com/news/nio-opens-orders-onvo-l90-125050665.html
[2] https://eletric-vehicles.com/nio/onvo/nio-accelerates-mass-production-of-l90-ceo-says/
[3] https://www.nasdaq.com/articles/will-onvo-l90s-fast-market-entry-boost-nios-competitive-edge