Why Nio Stock Dropped, Then Recovered Today
Shares of Nio (NYSE: NIO) fell by as much as 14.2% in early trading Tuesday, according to data provided by S&P Global Market Intelligence, then largely recovered to trade down 2.3% as of 2.50 p.m. ET. The Chinese electric vehicle company reported weaker-than-expected second-quarter results, but management did offer solid guidance on revenue and deliveries.
Nio's revenue declined 14.8% year over year in the quarter to $1.21 billion -- below analysts' consensus estimate of close to $1.26 billion -- and vehicle sales revenue decreased 24.9% to $990.9 million. That resulted in an adjusted net loss of $751 million, or $0.45 per American depositary share (ADS), missing expectations for an adjusted net loss of $0.41 per ADS.
Nio delivered 23,520 vehicles in the second quarter. However, in July (the first month of Q3), it delivered 20,462 vehicles, up 103.6% year over year.
Source Fool.com
NIO Inc. Stock
Based on 2 Buy predictions and 1 Sell predictions the sentiment towards NIO Inc. is rather balanced.
With a target price of 4 € there is a positive potential of 34.09% for NIO Inc. compared to the current price of 2.98 €.
