Investors in Nio (NIO 0.25%) have waited for a day like this for a long time now. Yes, it's April Fools' Day, but it's no joke.

On April 1, Nio said it delivered a record number of electric vehicles (EVs), totaling 25,768 units, in the quarter ending March. Although that's barely 3% higher compared to the last quarter, expectations were even more muted given the severe supply challenges facing automakers like Nio. Semiconductor chips continue to be in short supply, and prices of key raw materials and parts for EV makers such as nickel, lithium, and batteries have shot through the roof in recent weeks.

Nio shares jumped more than 8% at one point this morning on the news. It's not every day that this stock jumps as much. In fact, Nio was up almost 10% this week through 1 p.m. ET Friday.

Is this a dead cat bounce or the beginning of a fresh bull run for Nio, one that you wouldn't want to miss?

I see more upside in Nio shares from here than downside given how much the stock fell in recent months.

To be sure, I wouldn't bet on just Nio's delivery numbers as they may still fluctuate for some quarters given the ongoing supply and cost concerns. What matters more is Nio's growth plans, and they look solid for now. 

Of course, Nio confirmed today it's postponing the launch of its SUV ES7 by almost a month to late May, but it isn't the only automaker to be doing so. Several local Chinese automakers are delaying launches, largely because of the COVID-19 lockdown restrictions in the nation.

Meanwhile, Nio started deliveries of its flagship sedan, ET7, on March 28 as planned and delivered 163 vehicles through March 31. Just days ago, Nio hinted it has received a lot more orders for ET7 than the 15,000 units the media speculated.

Nio's newly launched sedan, ET7.

Image source: Nio.

This morning, Nio also said it'll unveil upgraded versions of existing EVs, specifically ES8, ES6, and EC6, with advanced digital cockpit hardware and extend the feature to existing Nio users as well.

I expect Nio's monthly deliveries to rise steadily from the second quarter given its new product launches, especially ET7, and 10,000 units per month should be easy to achieve. By the end of the year, Nio should also have started selling the ES7 SUV and ET5 sedan.

By then, the threat of the stock getting delisted from the U.S. alongside other Chinese stocks may have faded as well, now that China has confirmed it is negotiating with U.S. regulators to break the long-drawn deadlock on accounting regulations between the two nations. For that matter, Nio is already listed in Hong Kong.

Investor interest in Nio shares also picked up this week after popular investor Cathie Wood revealed a stake in Nio for the first time even as she sold some shares in another hot EV maker. While we don't know what's inside Wood's investing thesis, investors in Nio may have finally found valid reasons to stay optimistic.