NIO Stock – Why NYSE: NIO Felled
What occurred Many stocks in the electric-vehicle (EV) sector are sinking today, and Chinese EV producer NIO (NYSE: NIO) is actually no different. With its fourth quarter and full year 2020 earnings looming, shares fallen 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 maker Li Auto (NASDAQ: LI) claimed its fourth-quarter earnings today, however, the results shouldn’t be worrying investors in the sector. Li Auto noted a surprise profit for the fourth quarter of its, which can bode well for what NIO has got to point out if this reports on Monday, March 1.
however, investors are knocking back stocks of those top fliers today after lengthy runs brought high valuations.
Li Auto noted a surprise positive net earnings of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the companies give slightly different products. Li’s One SUV was designed to deliver a certain niche in China. It includes a tiny gas engine onboard which could be harnessed to recharge the batteries of its, allowing for longer travel between charging stations.
NIO (NYSE: NIO)
NIO stock delivered 7,225 vehicles in January 2021 and 17,353 throughout its fourth quarter. These represented 352 % along with 111 % year-over-year profits, respectively. NIO Stock not too long ago announced its first high end sedan, the ET7, which will also have a new longer-range battery option.
Including today’s drop, shares have, according to FintechZoom, by now fallen more than twenty % from highs earlier this season. NIO’s earnings on Monday might help alleviate investor stress over the stock’s high valuation. But for today, a correction is still under way.
NIO Stock – Why NIO Stock Dropped Yesterday