Why Nio Stock Reversed Its Slide Today
Nio (NYSE: NIO) American depositary shares had plunged more than 10% this week heading into Thursday's trading session. But that slide reversed this morning, with the stock popping almost 5%. As of 11:00 a.m. ET, Nio shares were still trading higher by 3.3%.
The recent decline came as investors sold many electric vehicle (EV) stocks due to fears of demand issues looking ahead to 2023 and beyond. Some of the drops may also be related to tax-loss selling after stocks in the sector -- including Nio -- plummeted in 2022.
Nio specifically dropped further this week after it quantified some of the demand problems investors feared. COVID-19 cases and restrictions put in place to stem to spread in China forced the company to lower fourth-quarter vehicle delivery guidance earlier this week.
Source Fool.com
