By Sam Boughedda
Investing.com -- Shares of Chinese electric vehicle company Nio Inc (NYSE:NIO) fell over 3% Monday ahead of its earnings release later this week.
The company, which has seen its share price decline 35% in 2022, is set to report earnings after the bell Thursday.
Meanwhile, Deutsche Bank analyst Edison Yu cut the firm's price target on NIO to $50 from $70, despite providing positive commentary on the company in a note to investors.
Yu explained in a research note that NIO has "cultivated an aspirational premium brand, underpinned by a leading service infrastructure that no domestic automaker has been able to match."
The analyst pointed to operational bottlenecks stagnating the company's volumes in the last few quarters but added that NIO's deliveries are on track to increase from 10,000 per month to 25,000 at the end of the year.
Yu said NIO's ET7 and ET5 models will be the most desired cars in China this year.