NIO (NYSE:NIO) Trading Up 2.9% - Here's Why

Key Points

• NIO Inc. shares rose 2.9% to $4.82, despite a significant drop in trading volume by 79% from its average daily volume.
• Analysts have mixed ratings for NIO, with a consensus price target of $4.74, while a few firms have reduced their price targets, indicating cautious sentiment in the market.
• NIO reported a quarterly earnings miss with an EPS of ($0.45) against the expected consensus of ($0.22), although revenue increased by 21.5% year-over-year.

NIO Inc. (NYSE:NIO - Get Free Report) shares rose 2.9% on Friday . The company traded as high as $4.82 and last traded at $4.82. Approximately 10,595,586 shares were traded during mid-day trading, a decline of 79% from the average daily volume of 51,239,582 shares. The stock had previously closed at $4.68.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Citigroup reissued a "buy" rating on shares of NIO in a research note on Monday, April 28th. Barclays cut their price target on NIO from $4.00 to $3.00 and set an "underweight" rating for the company in a research note on Wednesday, June 4th. Morgan Stanley restated a "buy" rating on shares of NIO in a research report on Monday, July 14th. The Goldman Sachs Group raised NIO from a "sell" rating to a "neutral" rating and upped their price objective for the stock from $3.70 to $3.80 in a research note on Tuesday, June 17th. Finally, Mizuho decreased their target price on NIO from $4.00 to $3.50 and set a "neutral" rating on the stock in a research note on Tuesday, June 3rd. One investment analyst has rated the stock with a sell rating, nine have assigned a hold rating, two have given a buy rating and one has given a strong buy rating to the stock. According to MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of $4.74.

NIO Trading Up 3.3%

The firm has a market cap of $10.09 billion, a P/E ratio of -2.97 and a beta of 1.42. The stock has a 50 day simple moving average of $3.95 and a 200-day simple moving average of $4.06. The company has a current ratio of 0.84, a quick ratio of 0.69 and a debt-to-equity ratio of 1.89.

NIO (NYSE:NIO - Get Free Report) last announced its quarterly earnings results on Tuesday, June 3rd. The company reported ($0.45) earnings per share for the quarter, missing the consensus estimate of ($0.22) by ($0.23). NIO had a negative return on equity of 286.45% and a negative net margin of 35.51%. The business had revenue of $1.66 billion during the quarter, compared to the consensus estimate of $12.46 billion. During the same quarter in the prior year, the firm posted ($2.39) EPS. The company's revenue for the quarter was up 21.5% on a year-over-year basis. On average, equities research analysts expect that NIO Inc. will post -1.43 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Sei Investments Co. raised its position in NIO by 9.8% in the 4th quarter. Sei Investments Co. now owns 137,016 shares of the company's stock worth $597,000 after purchasing an additional 12,222 shares during the period. Orion Portfolio Solutions LLC bought a new position in shares of NIO in the fourth quarter worth about $93,000. O Shaughnessy Asset Management LLC lifted its holdings in NIO by 28.9% during the 4th quarter. O Shaughnessy Asset Management LLC now owns 41,104 shares of the company's stock valued at $179,000 after buying an additional 9,222 shares in the last quarter. Franklin Resources Inc. boosted its position in NIO by 20.4% in the 4th quarter. Franklin Resources Inc. now owns 16,486 shares of the company's stock valued at $72,000 after buying an additional 2,788 shares during the period. Finally, Raymond James Financial Inc. bought a new position in NIO in the 4th quarter worth about $1,776,000. Institutional investors own 48.55% of the company's stock.

About NIO

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.

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