NIO Stock – Why NYSE: NIO Felled
What occurred Many stocks in the electric-vehicle (EV) sector are sinking these days, and Chinese EV maker NIO (NYSE: NIO) is actually no exception. With its fourth-quarter and full-year 2020 earnings looming, shares dropped as much as ten % Thursday and stay 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, but the results should not be frightening investors in the industry. Li Auto reported a surprise profit for its fourth quarter, which can bode very well for what NIO has got to tell you in the event it reports on Monday, March one.
Though investors are actually knocking back stocks of these top fliers today after extended runs brought huge valuations.
Li Auto reported a surprise positive net earnings of $16.5 million because of its fourth quarter. While NIO competes with LI Auto, the businesses give somewhat different products. Li’s One SUV was designed to offer a specific niche in China. It includes a little gasoline engine onboard which could be used 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 gains, respectively. NIO Stock just recently 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, actually fallen more than twenty % at highs earlier this year. NIO’s earnings on Monday could help ease investor stress over the stock’s high valuation. But for now, a correction stays under way.
NIO Stock – Why NYSE: NIO Dropped Yesterday