NIO Stock – Why NYSE: NIO Dropped
What happened Many stocks in the electric-vehicle (EV) sector are sinking today, and Chinese EV developer 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 remain downwards 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 nowadays, but the benefits should not be scaring investors in the sector. Li Auto reported a surprise gain for the fourth quarter of its, which may bode well for what NIO has to tell you if this reports on Monday, March one.
although investors are knocking back stocks of these high fliers today after extended runs brought high valuations.
Li Auto reported a surprise positive net income of $16.5 million because of its fourth quarter. While NIO competes with LI Auto, the companies provide somewhat different products. Li’s One SUV was developed to serve a specific niche in China. It provides a tiny gasoline engine onboard that can be used 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 plus 17,353 within its fourth quarter. These represented 352 % and 111 % year-over-year benefits, respectively. NIO Stock recently announced its very first deluxe sedan, the ET7, that will also have a new longer-range battery option.
Including today’s drop, shares have, according to FintechZoom, already fallen more than 20 % at highs earlier this season. NIO’s earnings on Monday could help ease investor nervousness over the stock’s top valuation. But for today, a correction is still under way.
NIO Stock – Why NYSE: NIO Felled Yesterday