Nio Inc. is considered one of the best high-growth consumer stocks to buy now. Morgan Stanley predicts a record Q3 sales guidance for Nio due to strong demand for its new Onvo L90 SUV. Q2 financial results are expected to be reported on September 4.

Morgan Stanley expects Nio to give guidance of 78,000 to 80,000 for Q3, representing 8.3%-11.1% growth on a quarter-on-quarter basis. In Q2, Nio reported 72,000 to 75,000 deliveries. Analysts anticipate revenue of around 19.5 billion to 20.1 billion renminbi for Q2, up to 20.3% year-over-year growth.

Despite being in the red, Nio’s Q3 net loss is expected to narrow to about 5.5 billion yuan from 6.9 billion yuan in Q1. The company heavily invests in R&D for autonomous vehicles. Nio reported R&D expenses of 3.18 billion renminbi in Q1, accounting for nearly half of its net loss.

While Nio shows potential as an investment, some AI stocks may offer greater upside potential with less downside risk. For those seeking an undervalued AI stock that could benefit from tariffs and the onshoring trend, consider exploring a free report on the best short-term AI stock.

Read more at Yahoo Finance: Morgan Stanley Predicts Record Q3 Sales for Nio (NIO) Amid Robust Demand