Why Shares of NIO Are Plunging Today
Shares of Chinese electric-car maker NIO (NYSE: NIO) were down sharply on Wednesday morning after the company reported a fourth-quarter loss that was worse than expected and disclosed that it had run very short of cash at the end of 2019.
As of 11:30 a.m. EDT, NIO's American depositary receipts were down about 20.3% from Tuesday's closing price.
Under the circumstances, NIO's fourth-quarter earnings weren't awful. The company managed to reduce its operating loss from the year-ago period and increase deliveries despite a very soft market for new vehicles in China during the period.
Source Fool.com
