NIO Stock – Why NYSE: NIO Felled
What occurred Many stocks in the electric vehicle (EV) sector are actually sinking today, and Chinese EV developer NIO (NYSE: NIO) is actually no exception. With its fourth-quarter and full-year 2020 earnings looming, shares dropped as much as 10 % Thursday and stay downwards 7.6 % as of 2:45 p.m. EST.
Li Auto (NASDAQ: LI)
So what Fellow Chinese EV producer Li Auto (NASDAQ: LI) noted its fourth-quarter earnings today, but the results should not be frightening investors in the sector. Li Auto noted a surprise profit for the fourth quarter of its, which may bode well for what NIO has to tell you when it reports on Monday, March one.
Though investors are knocking back stocks of those high fliers today after extended runs brought huge valuations.
Li Auto reported a surprise positive net revenue of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the businesses provide slightly different products. Li’s One SUV was developed to serve a specific niche in China. It includes a tiny fuel engine onboard which may be harnessed 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 plus 17,353 within its fourth quarter. These represented 352 % along with 111 % year-over-year gains, respectively. NIO Stock not too long ago 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, already fallen more than 20 % at highs earlier this year. NIO’s earnings on Monday can help relieve investor anxiety over the stock’s of exceptional valuation. But for now, a correction stays under way.
NIO Stock – Why NIO Stock Felled Thursday