NIO Stock – Why NIO Stock Felled
What happened Many stocks in the electric vehicle (EV) sector are sinking today, and Chinese EV producer NIO (NYSE: NIO) is no different. With its fourth quarter and full-year 2020 earnings looming, shares decreased almost as ten % Thursday and stay lower 7.6 % as of 2:45 p.m. EST.
Li Auto (NASDAQ: LI)
So what Fellow Chinese EV producer Li Auto (NASDAQ: LI) claimed its fourth quarter earnings today, although the results should not be unnerving investors in the industry. Li Auto reported a surprise gain for its fourth quarter, which could bode well for what NIO has got to tell you if this reports on Monday, March one.
But investors are knocking back stocks of those high fliers today after lengthy runs brought huge valuations.
Li Auto reported a surprise positive net income of $16.5 million because of its fourth quarter. While NIO competes with LI Auto, the companies offer somewhat different products. Li’s One SUV was developed to serve a certain niche in China. It provides a little fuel engine onboard that could be used to recharge the batteries of its, allowing for longer traveling between charging stations.
NIO (NYSE: NIO)
NIO stock delivered 7,225 vehicles in January 2021 as well as 17,353 in its fourth quarter. These represented 352 % and 111 % year-over-year profits, respectively. NIO Stock just recently announced its first deluxe sedan, the ET7, which will also have a new longer range battery option.
Including present day drop, shares have, according to FintechZoom, by now fallen more than 20 % from your highs earlier this season. NIO’s earnings on Monday can help alleviate investor anxiety over the stock’s of exceptional valuation. But for now, a correction remains under way.
NIO Stock – Why NYSE: NIO Felled Thursday