Why NIO Stock Rebounded Friday but Then Dropped
Shares of NIO (NYSE: NIO) have been trending down in concert with other U.S.-listed Chinese stocks over the past several days. The stock rebounded early Friday after the company held its Power Day 2021 event, jumping more than 3%, but that bump didn't last, and shares were trading 1.2% below Thursday's close as of 11:15 a.m. EDT on Friday.
Known mostly for its electric vehicles (EVs), NIO also has an automated battery-swapping service for customers not wanting to wait for EV batteries to recharge. NIO says a battery swap can take just three minutes. The company currently has about 300 swapping stations, but it aims to have 4,000 globally by 2025, Reuters reports. The news likely explains the early gains in the stock, but there also may still be overhang from investors concerned about the Chinese government cracking down on U.S.-listed companies.
Source Fool.com
