NIO Stock – Why NYSE: NIO Felled Yesterday
What happened Many stocks in the electric vehicle (EV) sector are sinking today, and Chinese EV producer NIO (NYSE: NIO) is actually no different. With its fourth quarter and full-year 2020 earnings looming, shares fallen pretty much as 10 % Thursday and stay down 7.6 % as of 2:45 p.m. EST.
Li Auto (NASDAQ: LI)
So what Fellow Chinese EV maker Li Auto (NASDAQ: LI) reported its fourth quarter earnings nowadays, but the benefits shouldn’t be unnerving investors in the sector. Li Auto noted a surprise gain for its fourth quarter, which may bode very well for what NIO has to point out in the event it reports on Monday, March one.
But investors are actually knocking back stocks of those high fliers today after lengthy runs brought high valuations.
Li Auto noted a surprise optimistic net revenue of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the businesses offer somewhat different products. Li’s One SUV was developed to offer a specific niche in China. It contains a tiny gas engine onboard which may be utilized to recharge its batteries, allowing for longer travel between charging stations.
NIO (NYSE: NIO)
NIO stock delivered 7,225 cars in January 2021 as well as 17,353 throughout its fourth quarter. These represented 352 % and 111 % year-over-year benefits, respectively. NIO Stock not too long ago announced its first high end sedan, the ET7, that will also have a new longer range battery option.
Including present day drop, shares have, according to FintechZoom, already fallen more than 20 % from highs earlier this season. NIO’s earnings on Monday might help relieve investor nervousness over the stock’s of good valuation. But for today, a correction is still under way.
NIO Stock – Why NIO Stock Dropped Yesterday