Why Nio and Nikola Stocks Are Higher Today, but Canoo Is Sinking
Names in the electric vehicle sector sometimes move as a group, but three stocks that are doing their own thing today are Nio (NYSE: NIO), Nikola (NASDAQ: NKLA), and Canoo (NASDAQ: GOEV). As of 11:30 a.m. EDT, Nio shares were about 2% higher, while Nikola shares were up nearly 5%. But Canoo shares, which jumped on Friday, were down 5.4% today after having been as much as 11.4% lower.
Canoo's move makes sense. The prerevenue EV start-up entered the meme stock universe recently, most likely based on its high short interest. More than 33% of the float was sold short as of mid-September. The stock has soared more than 26% just since last Thursday after it was discussed on Reddit's WallStreetBets forum. But, as with other meme stocks, there's no underlying business news to justify the sudden surge. Nikola, on the other hand, did provide investors with some relevant news today. And Nio shares continue to recover from a more macro-based drop that spread among U.S.-listed Chinese stocks recently.
Image source: Nikola.
Source Fool.com
