Why Nio Stock Dropped Thursday
Fast-growing Chinese electric vehicle (EV) maker Nio (NYSE: NIO) reported earnings last night, and its results beat consensus estimates. But investors initially drove the company's American depositary shares down more than 5% before the decline eased. As of 12:15 p.m. EDT today, the shares were trading down 2.25%.
Nio reported a loss of $0.07 per share on revenue of $1.31 billion. That represents revenue growth of 127% compared to the prior-year period. Investors might have been hoping for more, but the net loss beat estimates and was a vast improvement from the $0.16 per share loss it reported in the second quarter of 2020. And CEO William Bin Li told investors the company will introduce more than just the previously announced ET7 luxury sedan next year.
Source Fool.com
