NIO Stock – Why NIO Stock Dropped
What happened Many stocks in the electric vehicle (EV) sector are actually sinking today, and Chinese EV maker NIO (NYSE: NIO) is actually no exception. With its fourth-quarter and full-year 2020 earnings looming, shares decreased 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 maker Li Auto (NASDAQ: LI) claimed its fourth-quarter earnings today, though the outcomes shouldn’t be frightening investors in the industry. Li Auto reported a surprise profit for its fourth quarter, which can bode well for what NIO has to tell you in the event it reports on Monday, March 1.
although investors are knocking back stocks of these high fliers today after lengthy runs brought huge valuations.
Li Auto reported a surprise positive net revenue of $16.5 million because of its fourth quarter. While NIO competes with LI Auto, the companies give somewhat different products. Li’s One SUV was designed to offer a specific niche in China. It provides a tiny gas engine onboard which could be used to recharge its batteries, allowing for longer traveling between charging stations.
NIO (NYSE: NIO)
NIO stock delivered 7,225 vehicles in January 2021 as well as 17,353 within its fourth quarter. These represented 352 % as well as 111 % year-over-year gains, respectively. NIO Stock not too long ago announced its very first luxury 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 year. NIO’s earnings on Monday can help ease investor stress over the stock’s high valuation. But for today, a correction stays under way.
NIO Stock – Why NYSE: NIO Felled