NIO and Tesla face challenges, but one seems better placed now. We break down what drives each and which EV stock deserves your attention today.
The tariff-driven market volatility has been rough on shares of Chinese electric vehicle (EV) maker Nio Inc.
During the years of low interest rates and abundant liquidity in the stock market, roughly from 2020 to 2023, a few names were at the top of every investor's watchlist. As it turns out, through every cycle, these names eventually come out of favor when the cycle for credit and money markets swings back around to being more expensive and less available, which throws the same popular names down the list of priorities.
NIO (NIO) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
NIO stock trades at a discount- but is it a bargain or a trap? With bold EV plans and breakeven hopes, here's what investors should know before buying.
The tariff-driven market volatility has been rough on shares of Chinese EV maker Nio Inc.
NIO remains a compelling value Buy as we head into the FQ1'25 earnings call, thanks to its overly discounted valuations compared to historical trends and its peers. Our optimism arises from the growing sales of its well diversified EV platforms across the budget/ mass-market/ premium segments and its battery swap strategy. These have triggered NIO's expanding vehicle/ gross profit margins, with H2'25 likely to bring forth improved numbers after the promotional events normalize.
NIO Inc. (NIO) concluded the recent trading session at $4.12, signifying a -1.9% move from its prior day's close.
NIO faces intense competition and pricing pressures in China, despite government support and user adoption of EVs, impacting its market share and revenue growth. NIO's international expansion is hindered by tariffs and limited infrastructure, but its domestic market offers a cushion for now. Heavy R&D and Capex investments strain NIO's net income, but long-term benefits are expected if the company achieves scale and profitability by Q4 2025.
The tariff-driven market volatility has been rough on shares of Chinese EV maker Nio Inc.
In the most recent trading session, NIO Inc. (NIO) closed at $3.98, indicating a -1.24% shift from the previous trading day.
The Chinese electric vehicle (EV) maker Nio (NYSE: NIO) finally appears poised to regain $5 price per share with the rollout of its new Firefly model.