NIO (NYSE:NIO) Trading Down 5.8% – Time to Sell?

Nio Inc – (NYSE:NIO) dropped 5.8% on Tuesday . The stock traded as low as $4.32 and last traded at $4.40. Approximately 35,517,623 shares were traded during mid-day trading, a decline of 37% from the average daily volume of 56,757,121 shares. The stock had previously closed at $4.67.

Wall Street Analyst Weigh In

A number of analysts have commented on NIO shares. The Goldman Sachs Group lowered shares of NIO from a “neutral” rating to a “sell” rating and lowered their target price for the stock from $4.80 to $3.90 in a report on Monday. Macquarie downgraded NIO from an “outperform” rating to a “neutral” rating and dropped their price objective for the company from $6.60 to $4.80 in a report on Wednesday, November 20th. JPMorgan Chase & Co. raised NIO from a “neutral” rating to an “overweight” rating and increased their target price for the company from $5.30 to $8.00 in a research note on Friday, September 6th. Bank of America boosted their target price on NIO from $5.00 to $5.30 and gave the stock a “neutral” rating in a research report on Thursday, September 5th. Finally, Citigroup cut their price target on shares of NIO from $8.50 to $7.00 and set a “buy” rating on the stock in a research report on Wednesday, September 4th. Two equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average target price of $5.71.

NIO Price Performance

The company has a current ratio of 1.04, a quick ratio of 0.93 and a debt-to-equity ratio of 0.98. The stock has a market cap of $7.53 billion, a price-to-earnings ratio of -2.90 and a beta of 1.91. The company has a 50 day simple moving average of $5.45 and a 200-day simple moving average of $4.89.

NIO (NYSE:NIO) last released its quarterly earnings results on Thursday, September 5th. The company reported ($2.21) earnings per share for the quarter, hitting analysts’ consensus estimates of ($2.21). NIO had a negative return on equity of 113.83% and a negative net margin of 33.41%. The firm had revenue of $17.45 billion during the quarter, compared to the consensus estimate of $17.49 billion. During the same quarter in the prior year, the firm posted ($0.51) EPS. The business’s revenue was up 98.9% on a year-over-year basis. Research analysts expect that Nio Inc – will post -1.39 EPS for the current year.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in NIO. Point72 Asset Management L.P. boosted its position in NIO by 164.3% during the second quarter. Point72 Asset Management L.P. now owns 6,464,246 shares of the company’s stock worth $26,891,000 after purchasing an additional 4,018,659 shares during the period. FMR LLC boosted its holdings in shares of NIO by 5,388.5% during the 3rd quarter. FMR LLC now owns 5,394,895 shares of the company’s stock worth $36,038,000 after buying an additional 5,296,601 shares during the period. Quadrature Capital Ltd grew its stake in NIO by 32.3% in the 3rd quarter. Quadrature Capital Ltd now owns 2,209,020 shares of the company’s stock valued at $14,756,000 after buying an additional 538,907 shares during the last quarter. Krane Funds Advisors LLC lifted its position in NIO by 31.7% during the second quarter. Krane Funds Advisors LLC now owns 1,538,781 shares of the company’s stock worth $6,401,000 after acquiring an additional 370,556 shares during the last quarter. Finally, Bank of New York Mellon Corp lifted its holdings in NIO by 32.1% during the 2nd quarter. Bank of New York Mellon Corp now owns 1,416,709 shares of the company’s stock worth $5,894,000 after purchasing an additional 343,910 shares during the last quarter. 48.55% of the stock is owned by institutional investors and hedge funds.

NIO Company Profile

NIO Inc designs, manufactures, and sells electric vehicles in the People's Republic of China. The company is also involved in the manufacture of e-powertrain, battery packs, and components; and racing management, technology development, and sales and after-sales management activities. In addition, it offers power solutions for battery charging needs; and other value-added services.