TLDR
- NIO stock dropped 8.18% to $4.60 on Monday while broader markets gained, with S&P 500 up 1.47%
- July deliveries fell to 21,017 vehicles from 24,925 in June, continuing monthly decline trend
- Trading volume reached 53.2 million shares, above the 100-day average of 46 million shares
- Upcoming earnings expected to show -$0.30 EPS, an 11.76% improvement from prior year
- Stock faces technical resistance at $4.90 with support at recent low of $4.60
NIO shares took a beating on Monday, falling 8.18% to close at $4.60. This happened while the broader market was celebrating gains.
The S&P 500 climbed 1.47% for the day. The Dow Jones added 1.34%, and the tech-heavy Nasdaq jumped 1.95%.
Trading volume told the story of investor concern. About 53.2 million NIO shares changed hands on Monday. That’s well above the stock’s 100-day average of 46 million shares.
The selling pressure came after NIO released July delivery numbers on Friday. The Chinese electric vehicle maker delivered 21,017 vehicles last month. That’s down from 24,925 vehicles in June.
Delivery Breakdown Shows Mixed Results
The July numbers break down across NIO’s three brands. The main NIO brand delivered 12,675 vehicles. The newer Onvo brand contributed 5,976 vehicles. The Firefly brand added 2,366 vehicles to the total.
NIO’s cumulative deliveries now stand at 806,731 vehicles as of July 31. The company has been working to expand its brand portfolio beyond the original NIO nameplate.
Despite the monthly decline, NIO stock has shown strength over a longer timeframe. Shares gained 42.74% over the past month before Monday’s drop. That performance beat the Auto-Tires-Trucks sector’s 0.26% gain and the S&P 500’s 0.64% rise.
Technical Picture Shows Key Levels
Chart watchers are eyeing important price levels for NIO stock. Resistance sits around the $4.90 mark. Support appears to be holding at the recent low of $4.60.
The Relative Strength Index suggests a neutral position. This indicates the stock could move either direction based on market sentiment.
NIO’s momentum score stands at 71.86 according to market data. However, growth metrics show just 13.43 and value metrics sit at 32.92.
Earnings season brings another focal point for investors. NIO’s upcoming quarterly report projects an EPS of -$0.30. That would represent an 11.76% improvement compared to the same quarter last year.
Revenue estimates call for $2.76 billion in the upcoming quarter. Analysts expect this to show 14.78% growth from the prior-year period.
Full-year projections suggest continued improvement. The consensus estimates point to earnings of -$1.04 per share. Revenue forecasts reach $13.66 billion for the full year.
These annual figures would mark changes of 31.13% and 49.61% respectively from last year’s results. The projections reflect analyst expectations for NIO’s business recovery.
Recent analyst estimate revisions have remained relatively stable. The consensus EPS projection stayed unchanged over the past 30 days.
NIO currently holds a Zacks Rank of #3, which translates to a Hold rating. The ranking system runs from #1 (Strong Buy) to #5 (Strong Sell).
The Automotive – Foreign industry carries a Zacks Industry Rank of 183. This places it in the bottom 26% of all 250+ industries tracked.
Monday’s price action reflected ongoing investor assessment of NIO’s delivery performance and competitive position in the electric vehicle market.
Stay Ahead of the Market with Benzinga Pro!
Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders:
- Breaking market-moving stories before they hit mainstream media
- Live audio squawk for hands-free market updates
- Advanced stock scanner to spot promising trades
- Expert trade ideas and on-demand support
