DD on $NIU (Niu Technologies)

DD on $NIU (Niu Technologies)

What is Niu Technologies?

• Niu Technologies is an electric scooter company headquartered in Beijing, China.
• NIU is an efficient, affordable, and environmentally friendly way to travel.
• The company's goal is to develop affordable, leading-edge electric vehicles
• The company has developed many e-scooters improving on each iteration and has various models to suit your needs
• Niu claims that its smart e-scooters are the first in the industry to provide regular over-the-air (OTA) updates to fine-tune the performance, and such OTA functions can only be seen in high-end electric cars. The company provides connectivity solutions and value-added services to its users.
• The company's NIU app syncs with smart e-scooters and communicates with a cloud-based system. Users receive real-time information about e-scooters via the app. The company uses the data to provide maintenance and service, as well as to advise users when and how to properly maintain the products to extend the service life and get better performance.

What are their flagship products?

• They have many scooter models so you can find the one right for you. They have light scooters which can be used for casual/leisure use or more heavy-duty ones which can be used for commutes. Every model can be seen and compared on their site. Below are 2 of the more popular one's specs.

Specs of the electric vehicles *as found on their main website:

• NQi GTS

  • Motor: 3.5 kW Bosch rear hub motor
  • Top speed: 48 mph (77 km/h)
  • Range: Up to 87 mi (140 km)
  • Battery: 2x 60V 35Ah (total of 4,200 Wh)
  • Curb weight: 243 lb (110 kg)
  • Max load: 593 lb (269 kg)
  • Brakes: CBS hydraulic disc brakes
  • Suspension: Hydraulic fork, dual rear hydraulic shocks
  • Wheels: 14″
  • NIU NQi GTS ~$2222.96

• KQi3 Pro Version

  • Range: 31 miles
  • Top Speed: 19.9mph
  • Max Rider Weight: 265lbs
  • Min Rider Age: 14+
  • Vehicle Weight(inc.battery): 44.75lbs
  • Brake: Dual Disc Brake (Front & Rear) + Regenerative braking
  • Riding Modes: 4 modes: E-Save / Sport / Custom / Pedestrian
  • Wheel Size: 9.5"
  • Display: LED Dashboard
  • `Battery Charge: Time 6h
  • NIU KQi3 Pro $800

CORPORATE PRESENTATION:

Company Overview:

• ranked No.1 in the product sector for July Amazon Prime day sales in multiple countries
• At the recent Milan EICMA, showcased more lightweight kick-scooter models and the new BQi C3 Pro e-bike
• These product introductions allow NIU to cover a wide range of urban mobility categories
• Together with experienced international teams, a strong overseas presence, and an extensive sales network, they are on the right path to growing into a global urban mobility company

Purpose-Built for Urban Driving Challenges

• Ease: it has single-driver benefits such as HOV lane access, being able to navigate through traffic, and coinvent parking
• “Clean” fuel: Low emissions, lower maintenance & fuel costs, and reduced environmental impact

Marketing Strategy

• Support and implement an expanded network of EV charging stations across the sales territory
• Establish strategic partnerships with EV charging network providers to ensure that charging stations are conveniently located and accessible for customers at a competitive cost
• Support EVs in both the workplace and public community
• Support the rollout of new models with improvements

Here is the link to the corporate conference that goes over everything above: Link

Third Quarter 2022 Operating Highlight

• The number of e-scooters sold was 320,798, down 19.2% year over year
• The number of e-scooters sold in China was 263,189, down 32.9% year over year
• The number of e-scooters sold in the international markets was 57,609, up 1059.8% year over year
• The number of franchised stores in China was 3,303 as of September 30, 2022
• The international sales network consisted of 53 distributors covering 52 countries as of September 30, 2022

Risks/Negatives of the business

• Sales were down in China due to the zero covid policies. (However, now with the ongoing protests, it appears that China will open up. This will allow sales to flourish again domestically. They also have a growing market share in international markets, especially in Europe.)
• Changes in China's economic, political, and social situation, or government policies, could have a significant and detrimental impact on the company's business and operating results.
• Niu Technologies' competitive advantage relies on the smart features and data services provided to the users. But there is no surety that the company will be able to update new features and data services, which may affect the sales and related services.
• Here is the link to the SEC Filing that states the risks involved with their business: Link

Current Price

• yahoo finance: $4.26

Target Price/Forecasts

• yahoo finance sets the target price at $12.67
• MarketWatch sets the target price at $32.20
• CNN Money sets the target price at $6.84