What's Going On With Nio Stock?
NIO Inc (NYSE:NIO) shares are trading higher Monday after falling more than 15% over the last month. Here's a look at what's been going on.
What To Know: Nio has trended lower over the last month on the back of strong sales numbers from China-based EV competitors.
Nio recently reported deliveries of 15,641 vehicles in September and 55,432 for the third quarter, bringing cumulative deliveries up to 399,549.
According to a recent Fortune report, Warren Buffett-backed BYD delivered 286,903 vehicles in September, up 40% year-over-year. The company is dominating sales volumes among China-based competitors.
BYD also recently said it expects third-quarter net income to be between 9.5 billion yuan ($1.3 billion) and 11.6 billion yuan and highlighted record sales for the period. The company noted that it expects margins to remain resilient despite recent price wars among EV makers.
Several EV makers also came under pressure in recent weeks after Tesla missed analyst estimates on both the top and bottom line for the first time since 2019. However, the Elon Musk-led company recently ended discounts on Model Y vehicles in China, which could be helping fuel some of the move in Nio shares Monday.
See Also: As Tesla Executive Bemoans EV Adoption Pause In H1'23, Fund Manager Says Reacceleration Coming In 2024 Due To These 3 Factors
On Monday, new reports suggested competition is intensifying in the China EV market and exports could face headwinds. Reports indicate that rising regulatory risks in the EU could deter some EV makers from selling China-made vehicles in the region.
NIO Price Action: After trending lower in recent weeks, Nio shares were up 2.41% at $7.62 at the time of publication, according to Benzinga Pro.
Photo: courtesy of Nio.