Why Nio Shares Jumped After Earnings
Chinese EV maker (NYSE: NIO) reported yet another loss in its first-quarter report, but the stock is popping today anyway. Nio shares jumped as much as 12.3% Friday morning, but gave up much of those gains. As of 11:45 a.m. ET, Nio's American depositary shares were only higher by 1.5%.
While vehicle deliveries in the first quarter rose increased 20.5% year over year, they decreased by 22% sequentially from the fourth quarter of 2022. But that information was already known from the company's delivery update released on April 1. Investors had sold that news, with the stock declining by more than 25% since that day.
The new financial information coming from the quarterly earnings report also wasn't great news, but the bottom line was better than analysts expected. Nio reported an adjusted net loss of $0.35 per share on revenue of nearly $1.6 billion. Wall Street analysts expected a net loss of $0.39 per share from sales of $1.7 billion. Total revenue increased 7.7% compared to the prior-year period.
Source Fool.com
NIO Inc. Stock
With 0 Sell predictions and 2 Buy predictions the community sentiment towards the NIO Inc. stock is not clear.
As a result the target price of 5 € shows a slightly positive potential of 19.65% compared to the current price of 4.18 € for NIO Inc..
