(Benzinga) – Jim Cramer on Monday morning shared his thoughts on one of the hottest electric vehicle stocks.
Cramer On Nio: Cramer spoke on CNBC about the developments from Nio Inc NIO 9.56% at this weekend’s Nio Day. He said Nio is now the hottest Chinese stock, especially with the downfall of Alibaba Group Holdings BABA 2.95%.
“Baba not hot, Nio is,” Cramer said.
He questioned the comparisons between Nio and Tesla Inc TSLA 4.77% and said there is room for both electric vehicle companies, especially in the Chinese market.
If the market goes from 2%-3% to 10% share for electric vehicles, both Tesla and Nio could both benefit significantly, said Cramer: “Plenty of room for both.”
The only question for Nio could become valuation at current levels as it has run up ahead of the Nio Day event.
“Young people trade like a banshee,” Cramer said, referring to Nio stock.
With growth seen for electric vehicles and gasoline cars becoming less of a story, Cramer questioned an upgrade for Exxon Mobil Corp XOM 2.54% by Morgan Stanley.
Cramer said investors are looking for the next Tesla and not worried about investing in traditional automotive companies.
“They think they’ve found it in Nio,” he said.
NIO Price Action: Shares of Nio are up 8.2% to $63.80 on Monday.