Written by Cláudio Afonso | info@claudio-afonso.com
NIO shares hit today a new 52-week-low at $17.22 during Pre-Market session, a 14.00% drop from Wednesday’s close at $20.17. U.S. Futures sre currently trading lower with Nasdaq down 2.13% and the Dow Jones Industrial down 1.13% after Russia-Ukraine talks falter and CPI results earlier today. Despite the recent catalysts, share price is currently 62.08% down in the last 12 months and 44.90% down year to date. The sector leader Tesla is currently 22.26% lower Year-to-date. As of 11:21 AM EST, NIO shares are currently trading13.34% higher at $17.48.
After the approval received on February 28th, NIO Inc. announced on Thursday that it has successfully listed, by way of introduction, its Class A ordinary shares on the Main Board of The Stock Exchange of Hong Kong. After Xpeng and Li Auto listing during the last summer, also NIO is now trading on SEHK and the stock code “9866” regarding its first models: EP9, ES8, EC6 and ES6. The stock trades in board lots of 10 Shares, and the stock short name is “NIO-SW”. NIO stock opened in HKSE at 160 HKD, $20.46 USD.
As announced by Nio during a conference on January 19th, NIO ET7 test-drives in China started on Saturday, March 5th. With the 150 kWh battery, ET7 has an extra-long NEDC range of over 1,000 km and features motors at the front and rear with a combined output of 643 horsepower and 627 pound-feet of torque. The sedan accelerates to 62 mph in 3.9 seconds. Starting at around $69,000 (448,000 yuan) before Chinese subsidies for the 70.0-kWh option, the ET7 is targeting the same public as Tesla Model S. That said, the price drops to around $58,000 if the buyer opts for Nio’s Battery as a Service (BaaS) subscription, which allows drivers to swap their batteries at Nio Power Swap stations in China for a fee of around $150 a month. Deliveries are expected to start in 3 weeks, on March 28th.
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, the 6th European Market after the five already announced;
Nio announced 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.
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