NIO Stock – Why NYSE: NIO Felled Yesterday
What happened Many stocks in the electric vehicle (EV) sector are 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 almost as 10 % Thursday and remain lower 7.6 % as of 2:45 p.m. EST.
Li Auto (NASDAQ: LI)
So what Fellow Chinese EV developer Li Auto (NASDAQ: LI) noted its fourth quarter earnings today, although the outcomes shouldn’t be worrying investors in the sector. Li Auto noted a surprise benefit for its fourth quarter, which can bode very well for what NIO has got to say if this reports on Monday, March one.
however, investors are knocking back stocks of these high fliers today after extended runs brought huge valuations.
Li Auto noted a surprise optimistic net income 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 created to offer a certain niche in China. It contains a tiny gasoline engine onboard that could be used 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 in its fourth quarter. These represented 352 % and 111 % year-over-year benefits, respectively. NIO Stock recently announced its very first high end sedan, the ET7, which will also have a new longer-range battery option.
Including present day drop, shares have, according to FintechZoom, actually fallen more than twenty % from highs earlier this season. NIO’s earnings on Monday can help alleviate investor nervousness over the stock’s high valuation. But for today, a correction stays under way.
NIO Stock – Why NIO Stock Dropped