Could Nio stock really get delisted?
Dec 31, 2021 · After a torrid run the previous day, electric vehicle (EV) stock Nio lost momentum the last day of 2021 and was down about 1.1% as of 12:50 a.m. ET. A major development in China is to blame for ...
Will Nio be delisted?
Aug 16, 2021 · Shares of Chinese electric-vehicle maker Nio ( NIO -2.99%) were trading lower on Monday, in the aftermath of a crash that killed a prominent Chinese entrepreneur. An initial report indicated that...
Why is Nio dipping?
Nov 05, 2021 · After rallying through the week, electric vehicle (EV) stock Nio (NYSE: NIO) broke its winning streak on Friday, dropping 2.2% as of 2:25 …
Can I trust the Motley Fool?
Jul 23, 2021 · The Chinese government strikes the U.S. stock market again. Though today's news of a regulatory crackdown focuses on education companies in China, many U.S.-listed Chinese stocks are being hit ...
Why are Nio shares dropping?
Will Nio stock go up 2021?
Is Nio a good investment 2021?
What will Nio do in 2021?
How many cars NIO will sell in 2022?
Is NIO a safe investment?
What will NIO be worth?
Is NIO overvalued?
Despite a significant haircut to NIO's valuation since the summer of 2021, the stock remains overvalued. NIO has a revenue multiple of seven and no profits. Other EV stocks are also expensive when P/S and P/B ratios for 2021 are considered.Jan 31, 2022
Is NIO stock a long term buy?
What is the future of NIO stock?
Is NIO a promising stock?
Is NIO a Buy Sell or Hold?
A crash that killed a prominent entrepreneur has drawn the Chinese government's attention
What happened
John Rosevear is the senior auto specialist for Fool.com. John has been writing about the auto business and investing for over 20 years, and for The Motley Fool since 2007. Follow @john__rosevear
So what
Shares of Chinese electric-vehicle maker Nio ( NYSE:NIO) were trading lower on Monday, in the aftermath of a crash that killed a prominent Chinese entrepreneur. An initial report indicated that the victim's Nio had its hands-free driving system engaged at the time of the crash.
Now what
Lin Wenquin, the 31-year-old founder of several successful Chinese restaurant chains, died after his Nio ES8 crashed in Fujian on Aug. 12. According to an obituary posted to his company's WeChat account on Saturday, Lin's Nio had been operating on "Navigation on Pilot" (NOP), a hands-free highway-driving system similar to Tesla 's Autopilot.
Investors in many China-based companies are getting nervous
Car accidents happen, of course. But there are two specific issues here that are likely contributing to the move in the stock:
What happened
Howard grew up in Philadelphia watching the Philly sports teams struggle for championships. He has been investing since 1989 and been a Fool since 2001. Prior to joining The Fool as a contract writer in 2019, Howard worked in the steel business as an engineer for 28 years.
So what
The Chinese government strikes the U.S. stock market again. Though today's news of a regulatory crackdown focuses on education companies in China, many U.S.-listed Chinese stocks are being hit this morning. Electric vehicle maker Nio ( NYSE:NIO) is among them, with its stock down almost 6% as of 11:40 a.m. EDT.
Now what
The Chinese government has added restrictions to the private education industry, including bans on raising money through stock listings and foreign investment, reports CNBC. So why does that affect an electric car maker like Nio? Technically it doesn't -- at least not yet.
Why are Chinese stocks under pressure?
Nio previously announced it would be selling its vehicles outside of China for the first time by entering the European market initially in Norway. Yesterday, the company announced that its first shipment of its flagship ES8 electric SUVs destined for Norway left Shanghai on July 20.
Which country has the largest EV market?
Treasury yields. Furthermore, Chinese stocks are under pressure due to U.S. regulatory concerns.
Summary
China now has the largest EV market worldwide, followed by Germany, the U.S. and France. Therefore, Chinese automakers are increasingly in the limelight. 7 Great Stocks to Buy Under $10. Nio markets cars exclusively in China, where it also offers battery charging services.
Article Thesis
NIO is growing fast, and its profitability is improving quickly. The company could break even in the not-too-distant future.
NIO Stock Price
NIO, Inc. (NYSE: NIO) is one of the leading Chinese EV pureplays that combines an attractive growth track record with a strong brand and unique battery-as-a-service model. Thanks to industry tailwinds, accommodating regulation in its home market, and a rollout in Europe, NIO's growth outlook is pretty strong.
Will NIO Stock Go Back Up In 2021?
NIO, Inc. has seen its shares move in a wide range over the last year. The stock was as low as $14 and rose to as much as $67 at one point, which resulted in a valuation of well above $100 billion for the company -- quite a lot for a company with annual sales of less than 100,000 vehicles.
NIO Stock Prediction
So far 2021 has not been a great year for NIO and other EV pureplays. Following massive enthusiasm by the global investor community in 2020, on the back of fiscal and monetary stimulus and policies that were beneficial for EVs, sentiment has cooled to some extent in 2021.
Is NIO Stock A Buy, Sell, Or Hold Now?
Due to the aforementioned factors, it's not possible to forecast where exactly NIO will stand at the end of 2021, or a year from now. Thanks to strong growth and improving profitability, the operational outlook is solid. At the same time, NIO is inexpensive versus other EV players, mainly Tesla.
