NIO Stock - Why NIO Stock Felled Yesterday
What happened Many stocks in the electric vehicle (EV) sector are sinking these days, and Chinese EV producer NIO (NYSE: NIO) is no exception. With its fourth quarter and full-year 2020 earnings looming, shares decreased pretty much as 10 % Thursday and stay lower 7.6 % as of 2:45 p.m. EST.
Li Auto (NASDAQ: LI)
So what Fellow Chinese EV maker Li Auto (NASDAQ: LI) noted its fourth quarter earnings today, though the benefits shouldn't be unnerving investors in the industry. Li Auto reported a surprise profit for its fourth quarter, which can bode very well for what NIO has to say 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 noted a surprise positive net income of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the companies provide somewhat different products. Li's One SUV was designed to offer a certain niche in China. It includes a little gasoline engine onboard which could be harnessed 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 as well as 17,353 in its fourth quarter. These represented 352 % as well as 111 % year-over-year benefits, respectively. NIO Stock not too long ago announced its first high end sedan, the ET7, that 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 year. NIO's earnings on Monday could help soothe investor anxiety over the stock's of good valuation. But for today, a correction remains under way.
NIO Stock - Why NYSE: NIO Felled Yesterday