Written by Cláudio Afonso | info@claudio-afonso.com
NIO shares hit today a new 52-week-low at $17.70 during Pre-Market session, a 4.13% drop from Friday’s close at $18.63. At the time, U.S. Futures were trading 1.50% lower and bounced to -0.45% before the opening bell which brought the stock from -4.13% (PM lows) to -0.86% before the opening. The stock closed 6.29% lower on Friday at $18.53 amid the continuation of the Ukraine War. Despite the recent catalysts, share price is currently 51% down in the last 12 months and 41% down year to date. The sector leader Tesla is currently 20.68% lower Year-to-date. As of 9:33 AM EST, NIO shares are currently trading 2.93% higher at $19.19.
After the weak performance during the first weeks of the year (still related with the Covid-19 Pandemic), the Market is pulling back since early February when the Russian troops got closer to the Ukraine border increasing the tension that resulted in the invasion on February 24th. The worries have so far have centered on the impact of sanctions on Russia and how spiking oil prices could bring higher inflation.
Nio’s share price reach its All-Time-High on January 2021 at $66.99. The stock had an amazing year of 2020 (even with the Covid-19 pandemic effects) but has been struggling since then. For 2022, the company has several catalysts such as:
- European expansion to Germany, Sweden, Denmark and The Netherlands this year;
- ET7 Model test drives already started and the deliveries in China will begin on March 28th and in Norway later this year;
- Hong-Kong Listing on March 10th and Singapore Listing also being planned;
- Nio job post for a General Manager in UK last week;
Nio announced last week that it will report its fourth quarter and full year 2021 unaudited financial results on Thursday, March 24, 2022, after the close of the U.S. markets. The Company’s management will host an earnings conference call at 9:00 PM U.S. Eastern Time on March 24, 2022 (9:00 AM Beijing/Hong Kong Time on March 25, 2022). A live and archived webcast of the conference call will be available on the Company’s investor relations website at https://ir.nio.com/news-events/events.
In February 2022, Nio delivered 91 units in Norway. Currently, the company is only exporting its ES8 Model to the Scandinavian country, although, its highly expected ET7 model will arrive Norway in the last quarter of 2022 and the ET5 (announced during the NIO Day last December) in the first quarter of 2023, as revelead by Nio’s CEO William Li on January 22th. In January, the Chinese EV maker sold 44 units, down from the 67 sales reported in December 2021. Nio opened two months ago its first Battery Swap Station in Europe and plans to have 20 Stations in five different Norwegian cities by the end of the year.
Last week, the company announced that delivered 6,131 vehicles during February 2022, representing an increase of 9.9% year-over-year. February deliveries are often affected by the Chinese Spring Festival Hollidays where the factories usually close from January 31st to February 6th.
Written by Cláudio Afonso | info@claudio-afonso.com