NIO, Inc. (China) is a holding company which engages in the design, manufacture, and sale of electric vehicles. Its products include the EP9 supercar and ES8 7-seater SUV. It provides users with home charging, power express valet services, and other power solutions including access to public charging, access to power mobile charging trucks, and battery swapping. It also offers other value-added services such as service package, battery payment arrangement, and vehicle financing and license plate registration. The company was founded by Li Bin and Qin Li Hong in November 2014 and is headquartered in Jiading, China.
Sector(s): Consumer Cyclical
Industry: Auto Manufacturers
Full-time employees: 7,763
FINANCIAL
The current NIO market cap is 53.121B USD. Next NIO Inc earnings date is March 9, the estimation is -0.10 USD.Total assets of NIO for Q3 21 is 10.68B USD, 5.32% more than the previous Q2 21. And total liabilities increased by 16.33% in Q3 21 to 6.39B USD. The total revenue of NIO for the last quarter is 1.52B USD, and it's 15.86% higher compared to the previous quarter. The net income of Q3 21 is -441.93M USD.
LOST MOMENTUM
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 Nio shares ending Dec. 31 on a muted note.
HERE'S WHY
This morning, China's Finance Ministry announced a steep cut in and eventual scrapping of subsidies it currently offers to buyers of new energy vehicles (NEV). The Ministry said NEV subsidies will be cut by 30% in 2022 and then stopped altogether after Dec. 31, 2022. China is the world's largest market for NEVs, which include all- electric as well as plug-in and hybrid electric vehicles. While subsidies initially fueled China's NEV boom, production and sales are on such a solid growth trajectory now that the nation believes it doesn't need to subsidize purchases anymore. For example, NEV sales in China hit a record in the month of November and accounted for nearly 21% of total passenger car sales during the month. China's NEV sales are expected to be around 3.3 million in 2021 and surge to 5 million units in 2022, according to S&P Global Platts.
WHATS NEXT
While it's true that the scrapping of subsidies will mean greater competition for Chinese EV makers like Nio, the move doesn't really come as a surprise as the Chinese government had cut subsidies for 2021 as well and had hinted of a phase-out. Moreover, the subsidies were primarily available for lower-priced cars, so that shouldn't hurt Nio much. What matters is what Nio is doing to beat competition.
TECHNICAL ANALYSIS
Daily timeframe
On A Technical Chart Of A Nio On A Daily Timeframe. As Last Day Of 2021 Price Lost momentum But If Price Goes Below 28$ We See Further Fall In Nio. But If It Sustain And Move Above 36$ Then We See Good Momentum And Expect A New All Time High In 2022. So As we Can Se On Chart The 36 to 28 is A Range Of Sustain Or Else Call It A Demand Zone. It Break above or Below We Can see Good Further Moves. So Make Your Trade Based On Information Given And Trade with Proper Risk Management.
CLICK HERE TO SEE MORE>>Contributor: ZahidMemon from Westmoney
Submitted January 04, 2022 at 12:35PM by DARKFANTASY-C https://ift.tt/3pNO8V0
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