NIO Stock - Why NYSE: NIO Dropped
What took place Many stocks in the electric-vehicle (EV) sector are actually 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 decreased as much as ten % Thursday and remain 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, though the benefits should not be unnerving investors in the industry. Li Auto noted a surprise gain for the fourth quarter of its, which could bode very well for what NIO has got to tell you when it reports on Monday, March one.
Though investors are actually knocking back stocks of these high fliers today after lengthy runs brought huge valuations.
Li Auto noted a surprise positive net income of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the companies give somewhat different products. Li's One SUV was developed to serve a specific niche in China. It includes a small gasoline engine onboard which could be used to recharge the batteries of its, allowing for longer travel between charging stations.
NIO (NYSE: NIO)
NIO stock delivered 7,225 cars in January 2021 plus 17,353 throughout its fourth quarter. These represented 352 % along with 111 % year-over-year gains, 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, actually fallen more than twenty % from your highs earlier this season. NIO's earnings on Monday could help relieve investor nervousness over the stock's of good valuation. But for now, a correction remains under way.
NIO Stock - Why NYSE: NIO Felled Thursday