Why Nio Stock Sank Over 14% This Week
Just when it looked like Nio (NYSE: NIO) shares were on an upswing from multiyear lows, the stock of the Chinese electric-vehicle (EV) manufacturer took another plunge this week. Nio's American depositary shares sank by 14.3% in the shortened trading week, according to data provided by S&P Global Market Intelligence.
Shares surged higher by nearly 30% in the final half of March. But it and other technology stocks were out of favor this week, with the Nasdaq Composite index leading markets down for the week with a decline of more than 1%. Nio faced some of its own headwinds, though, which helps explain its outsize move lower.
Investors reacted with disappointment on Monday after Nio reported its March and first-quarter deliveries over the weekend. The company hit the low end of its estimate with quarterly shipments of 31,041 EVs. That was up more than 20% year over year, but down sequentially from the more than 40,000 vehicles delivered in the fourth quarter.
Source Fool.com
