Nio Stock Is Down 10% Today -- Is the Market Overreacting?
Shares of the Chinese electric automaker Nio (NYSE: NIO) plunged today after the company reported its fourth-quarter results. As a whole, the company performed well in the quarter, but investors appeared to be disappointed with management's estimates for first-quarter vehicle deliveries.
Nio's management said that the company will deliver between 25,000 to 26,000 vehicles in the first quarter, compared to Wall Street's consensus estimate of 28,000 for the quarter.
The result? The EV stock took a 9.5% haircut today. So, why do I think investors are overreacting? Because the rest of the company's quarterly results were still good.
Source Fool.com
