NIO's stock rose on strong EV demand and extended subsidies, despite a delayed software update.

NIO shares rose 3.3% to $5.5150 on Tuesday, driven by China’s extension of EV trade-in subsidies into 2026, strong demand for its third-generation ES8 SUV—delivered at a record pace—and increased reliance on CATL for batteries, improving supply chain stability. Elevated call options activity signaled bullish investor sentiment, though a delayed software update may impact customer experience. Despite mixed analyst ratings, the consensus remains a "hold" with a $6.73 target. The company, based in Shanghai, continues to focus on premium electric vehicles with advanced connectivity and autonomous features.