Shares of many China-based companies are plunging Monday amid renewed fears of COVID-19-related lockdowns in the country. That included the stock of electric vehicle (EV) maker Nio (NYSE: NIO), which dropped as much as 7.6% early Monday morning. As of 10:25 a.m. ET, Nio's American depositary shares were still down 5.3%.
When it reported third-quarter results earlier this month, Nio provided encouraging estimates for its fourth-quarter vehicle deliveries. But China's first reported COVID-19 deaths in six months and rising case counts have investors concerned about how Chinese leaders will work to stem the spread of the latest outbreak. Three deaths were attributed to the virus in Beijing over the weekend, and the southern port city of Guangzhou has already ordered a five-day lockdown of its most populous district.
Source Fool.com