NIO (NYSE:NIO) Shares Down 4.4% - Time to Sell?

Key Points

• Shares fell 4.4%, trading down to about $5.32 on Friday with roughly 36.5 million shares changing hands (around 20% below average volume).
• Analysts are mixed: several recent upgrades from HSBC, DBS and Macquarie but a sell from Weiss, leaving a MarketBeat consensus of "Hold" with an average target price of $6.80.
• Key fundamentals show risks: market cap about $12.21 billion, a negative P/E (-5.48), elevated leverage (debt/equity 2.08) and liquidity ratios under 1 (current 0.98, quick 0.87).

Shares of NIO Inc. (NYSE:NIO - Get Free Report) dropped 4.4% during trading on Friday . The company traded as low as $5.29 and last traded at $5.3150. Approximately 36,494,107 shares traded hands during mid-day trading, a decline of 20% from the average daily volume of 45,543,191 shares. The stock had previously closed at $5.56.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on the company. HSBC raised NIO from a "hold" rating to a "buy" rating and upped their target price for the company from $4.80 to $6.80 in a report on Friday, March 13th. Bank of America restated a "neutral" rating on shares of NIO in a research report on Tuesday, March 10th. Dbs Bank upgraded NIO from a "hold" rating to a "moderate buy" rating in a research note on Monday, March 16th. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of NIO in a research report on Monday, December 29th. Finally, Macquarie Infrastructure upgraded NIO from a "neutral" rating to an "outperform" rating and set a $6.10 target price on the stock in a research note on Thursday, January 15th. Seven equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, NIO currently has a consensus rating of "Hold" and an average target price of $6.80.

NIO Stock Down 4.4%

The firm's 50 day simple moving average is $5.07 and its 200 day simple moving average is $5.75. The company has a market cap of $12.21 billion, a price-to-earnings ratio of -5.48 and a beta of 1.11. The company has a quick ratio of 0.87, a current ratio of 0.98 and a debt-to-equity ratio of 2.08.

Institutional Trading of NIO

Several hedge funds have recently added to or reduced their stakes in NIO. Gladstone Institutional Advisory LLC boosted its position in NIO by 12.8% during the 3rd quarter. Gladstone Institutional Advisory LLC now owns 13,231 shares of the company's stock worth $101,000 after acquiring an additional 1,500 shares during the period. MGO One Seven LLC increased its holdings in shares of NIO by 10.6% during the third quarter. MGO One Seven LLC now owns 16,208 shares of the company's stock valued at $124,000 after purchasing an additional 1,560 shares during the period. Insigneo Advisory Services LLC raised its stake in shares of NIO by 4.4% during the third quarter. Insigneo Advisory Services LLC now owns 43,067 shares of the company's stock valued at $328,000 after purchasing an additional 1,806 shares in the last quarter. Tidal Investments LLC lifted its holdings in NIO by 0.9% in the second quarter. Tidal Investments LLC now owns 287,140 shares of the company's stock worth $985,000 after purchasing an additional 2,433 shares during the period. Finally, TD Waterhouse Canada Inc. lifted its holdings in NIO by 11.6% in the fourth quarter. TD Waterhouse Canada Inc. now owns 24,884 shares of the company's stock worth $127,000 after purchasing an additional 2,586 shares during the period. Institutional investors own 48.55% of the company's stock.

About NIO

NIO Inc is a pioneer in the premium electric vehicle (EV) segment, dedicated to the design, development and manufacture of smart, high-performance EVs. Established in November 2014 and headquartered in Shanghai, China, the company focuses on integrating cutting-edge electric propulsion, advanced connectivity and autonomous driving technologies into its automotive platforms. NIO's vision centers on creating a holistic user experience that extends beyond the vehicle itself, encompassing energy services and digital solutions.

The company's product lineup includes flagship SUVs and sedans such as the ES8, ES6, EC6, ET7 and ET5, each engineered to deliver strong performance, long range and a suite of intelligent driver-assistance features.

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