NIO Stock – Why NYSE: NIO Felled Thursday
What took place Many stocks in the electric vehicle (EV) sector are actually sinking today, and Chinese EV producer NIO (NYSE: NIO) is no exception. With its fourth quarter and full year 2020 earnings looming, shares decreased as much as 10 % Thursday and remain down 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 nowadays, however, the results should not be scaring investors in the industry. Li Auto reported a surprise benefit for the fourth quarter of its, which could bode well for what NIO has to tell you if this reports on Monday, March 1.
But investors are knocking back stocks of these top fliers today after extended 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 provide slightly different products. Li’s One SUV was designed to deliver a specific niche in China. It contains a small gas 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 cars in January 2021 and 17,353 in its fourth quarter. These represented 352 % and 111 % year-over-year benefits, respectively. NIO Stock just recently announced its first luxury sedan, the ET7, which will also have a new longer range battery option.
Including today’s drop, shares have, according to FintechZoom, already fallen more than twenty % from your highs earlier this year. NIO’s earnings on Monday could help alleviate investor anxiety over the stock’s of exceptional valuation. But for now, a correction continues to be under way.
NIO Stock – Why NIO Stock Dropped