NIO Stock – Why NYSE: NIO Dropped Yesterday
What occurred Many stocks in the electric vehicle (EV) sector are actually sinking these days, and Chinese EV maker NIO (NYSE: NIO) is no different. With its fourth-quarter and full-year 2020 earnings looming, shares dropped as much as 10 % Thursday and remain 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 today, but the benefits should not be scaring investors in the industry. Li Auto reported a surprise gain for the fourth quarter of its, which may bode very well for what NIO has to say in the event it reports on Monday, March one.
however, investors are knocking back stocks of those high fliers today after extended runs brought high valuations.
Li Auto reported a surprise positive net income of $16.5 million for its fourth quarter. While NIO competes with LI Auto, the businesses offer somewhat different products. Li’s One SUV was designed to deliver a specific niche in China. It includes a little gasoline engine onboard that could be utilized to recharge its batteries, allowing for longer travel 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 % as well as 111 % year-over-year benefits, respectively. NIO Stock recently announced its very first luxury sedan, the ET7, that will also have a new longer-range battery option.
Including today’s drop, shares have, according to FintechZoom, actually fallen more than 20 % from your highs earlier this year. NIO’s earnings on Monday might help soothe investor stress over the stock’s top valuation. But for today, a correction continues to be under way.
NIO Stock – Why NYSE: NIO Felled Thursday