NIO stock price soared in Hong Kong, prompting Morgan Stanley to upgrade its ADR rating to "overweight."

NIO's stock price rose more than 10% in Hong Kong on Wednesday, and J.P. Morgan upgraded the rating of NIO's American Depositary Receipts (ADR) from "neutral" to "overweight". NIO's ADRs rose by 10% on Tuesday. NIO will announce its financial report on September 2nd. "The financial report itself may not bring too many surprises, but we expect earnings expectations to be increased across the board, especially as the company's losses are expected to narrow quickly," analysts including Nick Lai wrote in a report. The institution raised its target price for NIO's ADRs from $4.80 to $8.00.