NIO Stock - Why NYSE: NIO Dropped
What happened Many stocks in the electric vehicle (EV) sector are actually sinking today, and Chinese EV maker NIO (NYSE: NIO) is actually no different. With its fourth quarter and full year 2020 earnings looming, shares decreased almost 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) reported its fourth quarter earnings nowadays, although the results should not be scaring investors in the sector. Li Auto noted a surprise benefit for the fourth quarter of its, which could bode well for what NIO has got to point out when it reports on Monday, March 1.
although investors are knocking back stocks of those high fliers today after lengthy runs brought huge valuations.
Li Auto reported a surprise optimistic net revenue of $16.5 million because of its fourth quarter. While NIO competes with LI Auto, the companies offer slightly different products. Li's One SUV was designed to serve a specific niche in China. It includes a little gasoline engine onboard which may be harnessed 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 as well as 17,353 throughout its fourth quarter. These represented 352 % as well as 111 % year-over-year profits, respectively. NIO Stock just recently announced its very first luxury sedan, the ET7, that will also have a new longer-range battery option.
Including present day drop, shares have, according to FintechZoom, actually fallen more than 20 % from your highs earlier this season. NIO's earnings on Monday can help ease investor nervousness over the stock's of exceptional valuation. But for now, a correction stays under way.
NIO Stock - Why NIO Stock Felled