NIO - NIO Inc.

NYSE - Nasdaq Real Time Price. Currency in USD
-0.1050 (-2.19%)
As of 2:15PM EDT. Market open.
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Previous Close4.7900
Bid4.6900 x 1000
Ask4.7000 x 27000
Day's Range4.6200 - 4.9200
52 Week Range4.4300 - 13.8000
Avg. Volume32,115,230
Market Cap4.807B
Beta (3Y Monthly)N/A
PE Ratio (TTM)N/A
Earnings DateN/A
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target EstN/A
Trade prices are not sourced from all markets
  • How Auto Stocks Fared in the Third Week of April
    Market Realist2 hours ago

    How Auto Stocks Fared in the Third Week of April

    These Auto Companies Are Set to Release Earnings This WeekAuto stocks in Q1 2019In the first quarter, the broader market and most auto stocks traded on a positive note. The S&P 500 and the NASDAQ Composite rose 13.1% and 16.5%, respectively,

  • Here’s What Hedge Funds Think About NIO Inc. (NIO)
    Insider Monkey2 days ago

    Here’s What Hedge Funds Think About NIO Inc. (NIO)

    You probably know from experience that there is not as much information on small-cap companies as there is on large companies. Of course, this makes it really hard and difficult for individual investors to make proper and accurate analysis of certain small-cap companies. However, well-known and successful hedge fund managers like Jeff Ubben, George Soros […]

  • Has China’s Economy Avoided a Hard Landing?
    Market Realist6 days ago

    Has China’s Economy Avoided a Hard Landing?

    Where China's Economy Is Heading(Continued from Prior Part)China Last year, China’s slowdown was seen as the biggest risk for global markets. The country’s economic slowdown was amplified by its trade dispute with the United States (SPY).

  • Reuters6 days ago

    The uphill road: battery limitations to test China's electric vehicle ambitions

    BEIJING/DETROIT, April 16 (Reuters) - It took one 330 kilometre trip from Chongqing to Chengdu in his Nio ES8, a seven-seater all-electric SUV, for its owner Wang Haichun to be consumed with buyer's remorse. Despite being billed as capable of going 335 km on a single full charge, the ES8 didn't get anywhere near that when driving on freeways at speeds above 100 km per hour (60mph), he said, adding that after 180 km, there was only 50 km of range left. Asked to comment on Wang's experience, Nio Inc said in an e-mailed statement the ES8 can travel more than 200 km when constantly driven at a 100 km per hour and that battery swap stations are available for quick recharging.

  • China’s Growth Could Surprise on the Upside This Year
    Market Realist7 days ago

    China’s Growth Could Surprise on the Upside This Year

    China No Longer Seems to Be Biggest Concern for Global Economy(Continued from Prior Part)China’s growthSeveral observers have cited China’s sputtering growth as the biggest risk for global markets. However, over the last few weeks, we’ve seen

  • Reuters7 days ago

    In quest for electric supercars, engineers head to start-ups

    Rene-Christopher Wollmann, head of Mercedes-AMG's 2.75 million euros (£2.38 million) Project One supercar programme, has moved to a job at Automobili Pininfarina in a sign that innovation in high end electric sportscars is shifting towards small start-ups.

  • Reuters15 days ago

    BRIEF-Chinasoft International Says Yaqin Notifies Involvement In Securities Class Action Lawsuit Against Nio


  • Reuters15 days ago

    BRIEF-AsiaInfo Technologies Notified By Non-Exec Director Of His Involvement In A Lawsuit Against Nio Inc


  • 7 High-Risk Stocks With Big Potential Rewards
    InvestorPlace17 days ago

    7 High-Risk Stocks With Big Potential Rewards

    In the stock market, as in many other arenas of life, risk and reward usually go together. The riskier an investment, the bigger the potential payoff. Likewise, the less risky an investment, the smaller the payoff.Consequently, if you're looking for big potential returns in the stock market, you have to be "OK" with absorbing big potential risk. To be sure, the best investments in the stock market are ones that mitigate risk and maximize return, and have a positive risk/reward profile. But mitigating risk often comes with diluting potential return. Thus, the biggest winners are often stocks that, at one point in time, were considered very risky.Case in point: Advanced Micro Devices (NASDAQ:AMD). In early 2018, AMD stock was considered very risky. It was a barely profitable semiconductor company with a long history of operational turbulence, and the stock was trading at nosebleed multiples relative to peers. Yet, the company continued to fire on all cylinders, and AMD stock turned into the best-performing S&P 500 stock in 2018.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Medical Marijuana Stocks to Cure Your Portfolio Consequently, for investors looking for big potential returns in Q2, I've put together a list of seven high risk, high rewards trades for the next three months. To be sure, these trades aren't for the faint of heart. They have big risks. But, they also have big return potential, and that's why they could be of interest to risk-on traders. High-Risk Stocks to Trade: Go Long NIO (NIO)Source: Shutterstock The Rewards: Shares of China luxury electric vehicle maker NIO (NYSE:NIO) have been ice cold ever since the company announced disappointing fourth-quarter numbers, which included signs of a demand slowdown in January and February 2019. NIO stock has lost about half of its value in a month. This sell-off seems overdone. Delivery volume picked back up in March, implying that weak January/February numbers were an anomaly. If so, and if the numbers remain good throughout the year, NIO stock could rally in a big way over the next several months as optimism returns to the stock.The Risks: China's economy is slowing, electric vehicle competition in China is increasing, and NIO doesn't have a long track record to prove resilience to macro risk factors (the company started delivering vehicles mid-way through 2018). As such, there are many reasons to believe that the numbers will continue to slow throughout 2019. If so, NIO stock won't go higher. Instead, given its still-premium valuation, the stock will only go lower if the delivery numbers don't turn around. Short Snap (SNAP)Source: Shutterstock Rewards: If you're shorting shares of social media company Snap (NYSE:SNAP), you should know they have been on fire ever since the company's fourth-quarter earnings report, which put an end to user base erosion and paved a path for healthy growth over the next several years. Over the past three-plus months, the stock has more than doubled. That means big expectations are priced in ahead of the company's next earnings report, due at the end of April. Specifically, investors expect continued user base growth, and if they don't get that (they might not, given adverse search trends which imply Instagram is still eating Snap's lunch), the stock could collapse in a big way. * 7 Biometric Stocks to Watch as AI Rises Risks: SNAP stock has a lot upward momentum, and stepping in the way of momentum is always a risky and tough thing to do. As of last quarter, all the important trends were moving in Snap's direction, including user growth, unit revenue growth, gross margins and overall profitability. If those positive trends show up again in the April earnings report, then SNAP stock will not just hold onto its big gains, but also add to them as investors hop on the momentum train. Go Long Blue Apron (APRN)Source: Shutterstock Rewards: Many investors have put meal kit maker Blue Apron (NYSE:APRN) in the "dead and gone" category, and the stock price appropriately reflects this (right around $1 per share). But, the meal kit space isn't a bad one, and secular trends in the on-demand and at-home economies imply that the space has healthy growth potential over the next several years. It's a highly competitive space. Blue Apron won't be the king. But, under the right management, Blue Apron could be a relevant player in the space. Importantly, the company just switched out its CEO, and tapped the former COO of Etsy (NASDAQ:ETSY) to run the company. That's a good hire (Etsy knows a thing or two about turnarounds), and makes an APRN stock turnaround from here seem more likely than ever before.Risks: The bull thesis in APRN stock hinges entirely on new management figuring out how to stabilize sales erosion while concurrently cutting costs and improving profitability. That's a tall order. As of last quarter, revenues were dropping by over 20% and the company was still running wide losses. Thus, new management needs to do a lot to turn this ship around. It's not impossible, but it will be tough. Go Long Lyft (LYFT)Source: Shutterstock Rewards: Ride-sharing giant Lyft (NASDAQ:LYFT) has had a tough start on Wall Street. But, this is a very big company, growing very quickly, with shared dominance in a North American ride-sharing market that is only scratching the surface of its at-scale potential. Long term, Lyft has clarity to one day morph into an $80 billion ride-sharing giant. The company has a valuation of just $20 billion today. Consequently, long term upside looks compelling, and investors should start to see that long-term upside once this near term panic fades. * The Elite 8 Stocks to Buy for Massive Outperformance Risks: At the risk of sounding like a broken record, stepping in the way of momentum is a risky and tough thing to do. Right now, LYFT stock has a lot of downward momentum, as everyone has bought into this thesis that the IPO valuation was unsustainable. So long as this thesis remains front-and-center, LYFT stock will likely remain weak. No one really knows when this thesis will fade from the spotlight. As such, downside risk in the near term remains very real. Go Long Advanced Micro Devices (AMD)Source: Shutterstock Rewards: In the intro, I mentioned that AMD stock was the S&P 500's top stock in 2018. Interestingly enough, it's also one of the S&P 500's top-five stocks thus far in 2019. It has become increasingly clear that AMD is successfully expanding its relatively small CPU and GPU market share, so the "David turning into Goliath" thesis here is gaining traction. Because AMD is a $30 billion company, and its peers are $100 billion-plus companies, so long as that thesis remains alive and well, AMD stock will have plenty of room to run higher.Risks: At current levels, the biggest risk with AMD stock is valuation. The stock trades at a nosebleed valuation, and even under aggressive long-term growth assumptions, the most aggressive price target I can get to for fiscal 2019 is around $27. Thus, this big 2018/19 rally does appear to be living on borrowed time. The stock is due to drop in a big way on any bad news. Will that bad news come within the next few months? No one knows, but the big valuation does imply big risk. Short Cronos (CRON)Source: Shutterstock Rewards: All pot stocks have been in rally mode in 2019, but none quite as much as Cronos (NASDAQ:CRON), which could make for an interesting short. At one point in time, the smallest of the Big 4 Canadian cannabis stocks was up 120% year-to-date. That rally has since been faded following disappointing fourth-quarter numbers. CRON stock now trades more than 20% off its 2019 highs. This drop should continue over the next several months. On almost every metric, CRON stock is about as expensive as it gets in the cannabis space, and the recent quarterly numbers underscore that this premium valuation isn't warranted. Thus, until the next earnings report rolls around, the recent downtrend in CRON stock should persist. * The 10 Best ETFs to Buy in the Second Quarter Risks: The risks associated with shorting CRON stock are essentially the same risks that arise when you short any cannabis stock. This is a highly volatile industry that is subject to both big drops on bad news and big rallies on good news. Right now, the news flow in the cannabis space is largely positive, mostly thanks to a robust legal Canadian market growth, a healthy U.S. legalization progress and a ton of investment and M&A activity. If this positive news flow persists, then CRON stock may be able to buck its recent downtrend, and catch a ride higher with the rest of the pot sector. Go Long Micron (MU)Source: Shutterstock Rewards: Memory chip maker Micron (NASDAQ:MU) has been hammered over the past several months amid deteriorating supply/demand fundamentals in its core memory markets. Specifically, a slowdown in global economic expansion and a rise in trade and FX headwinds has diluted memory market demand, while supply has been building for a long time and inventories now sit at 25-year highs. This has created downward pressure on revenues and margins. But, MU stock now trades at just 9 times forward earnings, and there's reason to believe that -- given global economic stabilization, aggressive first quarter semiconductor market inventory clearing, and global trade and FX improvements -- the worst is in the rear-view mirror. If so, MU stock could explode higher from here.Risks: There's nothing in the numbers which supports this bull thesis. Specifically, gross margins are still in free fall, so this turnaround is all speculative based on the idea that semiconductor market fundamentals are getting better globally. Until these improvements show up in the numbers, MU stock will likely remain weaker for longer.As of this writing, Luke Lango was long NIO and LYFT. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 9 Stocks That Would Be Hurt By a Mexico/U.S. Border Closure * 7 A-Rated Healthcare Stocks for Industry Expansion * 10 Stocks That Every 30-Year-Old Should Buy and Hold Forever Compare Brokers The post 7 High-Risk Stocks With Big Potential Rewards appeared first on InvestorPlace.

  • Nio Put Buyers Pounce as Citi Screams "Buy"
    Schaeffer's Investment Research18 days ago

    Nio Put Buyers Pounce as Citi Screams "Buy"

    BAML upgraded Nio stock today, too

  • Benzinga18 days ago

    NIO's Lower Share Price Charges Interest In Chinese EV Maker

    The share price of Chinese electric vehicle maker NIO Inc. ADR (NYSE: NIO ) has dropped to a level the sell-side likes given expectations for improving sales, leading two analysts to upgrade the stock. ...

  • InvestorPlace18 days ago

    Europe Is Just Part of the X-Factor Driving Tesla Stock

    Google "Tesla (NASDAQ:TSLA) Deliveries Q1 2019" and you'll likely get more than 450,000 results. Investors are anxiously awaiting Elon Musk's release of the company's first-quarter delivery and production forecast. These two numbers, more than anything, are what's currently driving TSLA stock. I believe this is short-sighted. Here's why. Nio Beats ExpectationsNio (NYSE:NIO) announced its Q1 ES8 deliveries on April 2. Management expected to deliver between 3,500-3,800 of the SUVs. It delivered 3,989, sending Nio stock up 38 cents, or more than 7%, on the news in early Tuesday trading.InvestorPlace - Stock Market News, Stock Advice & Trading TipsNio longs will point to this as a reason for optimism. A fair assumption. It's better than delivering fewer than 3,500. Those longs also point to the fact that Tesla's going to have its hands full competing in China with a homegrown electric vehicle manufacturer. Who is the Chinese government going to support? An American company or Nio? Frankly, I think Beijing is going to do what's best for Beijing. And right now, as much as Nio's proving it can produce vehicles at a decent clip, it's nowhere near the production level of Tesla and probably won't be for 2-3 years. And that's if it can survive financially. * The Elite 8 Stocks to Buy for Massive Outperformance Tesla stock investors ought to forget about the competition and focus on what Tesla is doing to grow its business on a global basis. North America's Doing FineThe fate of TSLA stock lies in two geographies: China and Europe.Production and deliveries in the U.S. are doing just fine. A quick look at the 2018 U.S. sales chart of electric vehicles shows the Models 3, X. and S in first place, third place, and fourth place respectively. The 139,782 Model 3 sold were more than the sales of all the non-Tesla electric vehicles combined. Analysts expect Tesla to report Q1 Model 3 production of 64,000. Meanwhile, Bloomberg's Tesla tracker suggests the car maker could blow past that number, producing as many as 78,000 Model 3's during the period. If you own TSLA stock, I wouldn't sweat it if Tesla came in under 64,000. If it does, and the stock drops, it's a buying opportunity. If you don't own Tesla stock but are considering buying, buy a bit now and more later regardless of the number. Canaccord Genuity analyst Jed Dorsheimer has a buy rating and a 12-month target price of $450. He recently drove the Standard Plus Model 3 that starts at $37,500, mere dollars above the entry-level vehicle. He had high praise for the Model 3 which roars from 0-60 in 5.3 seconds. "With the performance of a 911 and the price of an Audi A4 or BMW 3 series, we see the Model 3 as the best value proposition currently on the market today," Dorsheimer wrote in a note to clients, reiterating his rating and price target. The big driver of growth for Tesla and Tesla stock will be Europe and China. Delays and Other ConcernsJPMorgan (NYSE:JPM) analyst Ryan Brinkman isn't so enthusiastic. He met with Tesla management in late March and came away unimpressed. The headwinds it faces in Europe and China are too considerable to keep TSLA stock moving higher no matter what it does in North America. "1Q results are particularly susceptible to potential delays in delivering Model 3's to customers in Europe and China," Brinkman wrote in a note out March 29. "Any delays in delivering vehicles to Europe and China carry the potential for a disproportionate impact on 1Q deliveries (and, hence, revenue, margin, and cash flow), given the already guided back-end-loaded nature of 1Q deliveries."He's so concerned about Tesla's ability to sell, produce, and deliver cars outside North America that he's cut his 12-month target price by $15 to $215, less than half Dorsheimer's target price. * 8 Best Stocks to Buy for an April Rally Somebody's got to be wrong in the long-term. Regardless of what happens in the first quarter, I think Brinkman will be on the losing end of this proposition because, ultimately, China and Europe are the pathways to sustainable profitability. Bottom Line on Tesla StockTesla stock is not a name you buy with your retirement funds. It's meant for your "fun" fund. It's an excellent company with great products. But risk-free, it isn't. If you can't stand the fire, get out of the kitchen. Otherwise, don't sweat the TSLA stock near-term. It is what it is. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Best ETFs for 2019: A Close Race at the Front * 15 Stocks to Buy Leading the Financial Charge * 7 Stocks From Around the World That Beat U.S. Stocks Compare Brokers The post Europe Is Just Part of the X-Factor Driving Tesla Stock appeared first on InvestorPlace.

  • American City Business Journals19 days ago

    Lyft, Nio top a list of cash guzzlers that has been a bad portent for others

    All but one of the companies that went public with the biggest operating losses are either trading below their offering price, bankrupt or were sold below their IPO price, according to a report this week.

  • Is Nio Stock Totaled? Or Can You Squeeze Profits From It?
    InvestorPlace19 days ago

    Is Nio Stock Totaled? Or Can You Squeeze Profits From It?

    Nio (NYSE:NIO) stock recently crashed to new lows, but the story didn't change that much. Long-term investors can hold Nio stock for their own reasons, while short-term traders can get rid of it. NIO made headlines recently when the popular television show 60 Minutes aired a special show about it. This spurred retail investors to pile into the stock as it spiked to $10.65. It was a raging party that looked like it was going to retest the all-time highs, but that wasn't the case. If you're still keen on trading Nio stock, however, I'll show you how to use the options market to squeeze profits from NIO.Source: Shutterstock It even took bids away from Tesla (NASDAQ:TSLA) stock.Nio's epic rally lasted only six days, marking an epic double top on Nio's stock chart. Soon, shares collapsed by 50%, setting a new all-time low below $5 per share …InvestorPlace - Stock Market News, Stock Advice & Trading TipsIt was a perfect storm of a disappointing earnings report and an overzealous bunch of retail investors. What made it worse is that this also coincided with a lockup expiration. The setting was perfect to transfer the risk from original investors into the retail hands.I came into 2019 long NIO stock by selling the July $5 put. In essence, I had committed to buying the shares at that level if the price were to breach below it. I have since changed my mind.On the way down, I expected the selling to abate around $6.50. Yet, it fell through it like butter, so I assumed I was missing a piece of the puzzle. I booked my partial profits and I'm thrilled that I did!This was a low conviction trade because I am unsure of its fundamentals for the long-term. I considered it a tactical trade and I didn't want to turn it into an investment. So now what?Unless investors know the industry and the company inside and out, Nio stock still remains a better trading vehicle than an investment.First of all, I am not convinced that the electric car will replace the internal combustion engines -- at least not for a long while. Electric vehicles remain inefficient, and the infrastructure to support the ubiquity of electric cars is still in its infancy.Then there is the matter of subsidies. It seems that every couple of months we hear of some subsidy expiring, thereby affecting the trade. Now there is the matter of competition and not the one from Tesla. The mega-auto manufacturers like General Motors (NYSE:GM) are slated to unleash a herd of new electric vehicles in the near future. These are competitors whom Nio should fear. Why? They have deep pockets and the infrastructure to scale. How to Trade Nio StockSo from a trading perspective and for the short-term investors seem to so far be ignoring the competition aspect of risks in NIO. The most recent stock crash happened because of a perfect setup for failure. The 60 minute bit hit just before the company released its earnings. So it came into the event up huge, which makes it impossible to rally off the news.At that point, management needed to hit a home run on all fronts and they didn't. The report missed the mark and broken expectations make for a broken stock. This puts the bulls on their heels as they remount the next effort. The onus will remain on them to break the lower-high trend that started from the first week of its public life.So is NIO stock a good buy here? The answer depends on investor time frame. If I believe in the industry and specifically in this company then yes, it's a buy. Because the incremental selling came from events that are no longer here.But if I am looking to tactically trade it I could consider reselling a similar put like I had to generate income. Or I would chase the stock as it breaks through bullish trigger lines.The first one comes at $5.75. This will be a hot zone where bulls will face resistance. This was a recent ledge from which NIO fell to its lows. The next level is about $1 higher, which is also another recent accident scene that brought a %25 dip from it. Above those two levels, there are many others but we'd have to take them as prices near them for better context.Meanwhile, NIO will need the help of the general markets and a deal with China on tariff could also go a long way. Otherwise, it would need to fight both its own negative price action and the market-wide tide.Nicolas Chahine is the managing director of As of this writing, he did not hold a position in any of the aforementioned securities. You can follow him as @racernic on Twitter and Stocktwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Best ETFs for 2019: A Close Race at the Front * 15 Stocks to Buy Leading the Financial Charge * 7 Stocks From Around the World That Beat U.S. Stocks Compare Brokers The post Is Nio Stock Totaled? Or Can You Squeeze Profits From It? appeared first on InvestorPlace.

  • Reuters19 days ago

    BRIEF-China Metal Resources Utilization Notified By Lee Ting Bun Denny Of His Involvement In Lawsuit Against Nio

    April 3 (Reuters) - China Metal Resources Utilization Ltd : * NOTIFIED BY LEE TING BUN DENNY OF HIS INVOLVEMENT IN SECURITIES CLASS ACTION LAWSUIT AGAINST NIO INC Source text for Eikon: Further company ...

  • Why Shares of Chinese Electric-Car Maker NIO Fell 47% in March
    Motley Fool20 days ago

    Why Shares of Chinese Electric-Car Maker NIO Fell 47% in March

    China's upstart Tesla rival was hit by a double whammy last month.

  • What Elon Musk Could Learn from NIO
    Market Realist20 days ago

    What Elon Musk Could Learn from NIO

    What Elon Musk Could Learn from NIO, Tesla's Chinese Rival(Continued from Prior Part)NIO versus Tesla Chinese electric carmaker NIO (NIO) was founded in 2014, much later than its American peer Tesla (TSLA), which came into existence in 2003. In many

  • Why the 50% Fall in NIO’s Q1 Car Deliveries Pleased the Bulls
    Market Realist20 days ago

    Why the 50% Fall in NIO’s Q1 Car Deliveries Pleased the Bulls

    What Elon Musk Could Learn from NIO, Tesla's Chinese RivalNIO’s first-quarter performance Chinese electric carmaker NIO (NIO) traded on a highly volatile note in the first quarter. Its stock fell 46.7% in March after posting a solid gain of 50.2%

  • Reuters20 days ago

    BRIEF-Yixin Group Notified By Non-Executive Director Of His Involvement In Lawsuit Filed Against NIO Inc


  • Reuters20 days ago

    BRIEF-China Literature Notified By Chairman Of His Involvement In A Lawsuit Against Nio Inc


  • MarketWatch20 days ago

    Nio shares gain after first-quarter deliveries top forecast

    American depositary shares of Chinese carmaker Nio Inc. are up 4.6% in premarket trading Tuesday after the company disclosed that first-quarter deliveries of its ES8 electric sport-utility vehicle topped expectations. Nio delivered 1,805 ES8s in January, 811 in February, and 1,373 in March, or 3,989 in total for the quarter. The company had previously forecast 3,500 to 3,800 deliveries for the period. Nio has been likened to the Tesla Inc. of China. Its shares are down 16% over the past three months.

  • US Equity Markets Had a Solid First Quarter
    Market Realist21 days ago

    US Equity Markets Had a Solid First Quarter

    Equity Markets: Headlines Changed from ‘Worst’ to ‘Best’(Continued from Prior Part)Equity markets US equity markets had a strong first quarter. The S&P 500 (SPY) rose 13.1% during the first quarter. Several developments helped the

  • History Repeating: Why It May Be Time to Turn Bullish on NIO Stock
    InvestorPlace21 days ago

    History Repeating: Why It May Be Time to Turn Bullish on NIO Stock

    One of the more interesting battleground stocks in the market is Chinese electric vehicle (EV) maker NIO Inc. (NYSE:NIO). Often considered the Chinese version of Tesla (NASDAQ:TSLA), NIO stock has been one of the hottest buys in the entire market in early 2019.Source: Shutterstock From January to early March, NIO stock rallied from $6 to $10, boosted by burgeoning global EV demand, China economic improvements, and a 60 Minutes segment which highlighted NIO's potential in the China electric car market.That rally didn't last. NIO reported ugly fourth quarter numbers in mid-March. Management also delivered a below-consensus guide, and said that early 2019 sales volume was actually dropping from late 2018 levels. Investors freaked out. Over the course of the next two weeks, NIO stock lost half of its value. Today, the stock trades right around $5.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIn other words, NIO Inc. stock has ricocheted from $6 to $10 to $5, all over the course of three months. That is the textbook definition of volatility.But, volatility works in both directions: Sharp rallies often end in sharp declines, and sharp declines often end in sharp rallies. Given this volatility truism, and that NIO's fundamentals and technicals support a rally here, it increasingly looks like now may be the time to turn bullish on beaten-up NIO stock. History and Technicals Imply a Rally AheadNIO stock has been highly volatile ever since hitting public markets in late 2018. But, this volatility has followed a fairly straightforward pattern. If this pattern persists, then the next move in NIO stock could be a sharp rally higher. * 7 Reasons to Buy Housing Stocks in 2019 The pattern here is simple. NIO stock tends to drop sharply over the course of a few weeks to a month, and then reverses course and stages a big rally over the course of the next several weeks. From early September to early October, NIO stock dropped from $12 to $6, only to rebound to $8 by mid-October. Then, from mid-October to early November, the shares fell back to $6, only to bounce back to $8 by late November. That was followed by a sell-off to $6 into Christmas, which turned into a multi-month rally to $10+ prices.Now, we are just over three weeks into this new big sell-off. If history repeats itself, that means we are close to a turnaround, and that NIO stock could be due a for a big bounce back soon.Further, the technicals look good here for a rebound. Each of the past major sell-offs in NIO stock found solid footing around the $6 level. This most-recent selloff broke that support level. But, the stock appears to be finding new footing at $5, and that means that a successful test and hold of the $5 level over the next few days could result in a bounce back rally over the subsequent few weeks. Fundamentals Support Higher PricesMaybe even more important than technicals and history, the fundamentals support the notion that NIO stock is undervalued here.NIO's current market cap is just above $5 billion. While that is big for a company that delivered barely more than 10,000 vehicles last year, it isn't all that big for a manufacturer that could one day be a very relevant player in the soon-to-be-huge China EV market.Going by the numbers, China's passenger car sales run around 25 million new vehicles each year. That represents about one-third of global passenger car sales. EV unit sales in China are rapidly growing, and have gone from sub-1% share a few years ago, to north of 4% share last year. Extrapolating this out and assuming continued urbanization, then China's total car sales could measure in excess of 30 million vehicles by 2030. Given consumer demand and legislation trends, it also isn't unlikely that roughly 25% of those new car sales will be electric, so around 8 million new EV sales in 2030.NIO won't control a big part of that market. The company is a luxury player in the EV space, and its high price points will restrict mass market adoption. Still, 3-5% market share seems doable. At the midpoint, that implies roughly 320,000 deliveries by 2030, up from just over 10,000 last year. At an average price of $50,000, that equates to a revenue opportunity of $16 billion by 2030. Assuming auto-average 20% gross margins and a 10% opex rate, that should flow into around $1.2 billion in net profits by 2030.Based on a market average 16x forward multiple, that implies a fiscal 2029 market cap for NIO stock of nearly $20 billion. Discounted back by 10% per year, that equates to a fiscal 2019 market cap of just under $7.5 billion. * 10 Tech Stocks That Transformed Their Business So, with that $5 billion market cap today, NIO stock can be considered fundamentally undervalued. Bottom Line on NIO StockNIO stock has gone from big winner to big loser, and it may be on track to reverse course back into the W column soon. History, technicals, and fundamentals all support the recovery thesis, and as such, I think there's a good chance we see NIO stock rally big from a $5 base over the next few weeks.As of this writing, Luke Lango was long NIO and TSLA. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Genomic Testing Stocks That Can Ease the Sting of Theranos * 4 Pot Stocks That Could Be Fizzling Out * 7 Mid-Cap Growth Stocks That Could Be the Next Amazon or Netflix Compare Brokers The post History Repeating: Why It May Be Time to Turn Bullish on NIO Stock appeared first on InvestorPlace.

  • Alibaba and Tencent: What’s behind the Ceasefire?
    Market Realist24 days ago

    Alibaba and Tencent: What’s behind the Ceasefire?

    Alibaba Continues to Pursue Growth(Continued from Prior Part)Alibaba and Tencent team up to fund T3For years, Alibaba (BABA) and Tencent (TCEHY) have been at each other’s necks, waging a tit-for-tat war that has seen them back several rival firms.