On May 23, Chinese electric car company NIO (NIO) continued to slip and fell below an important psychological level of $4.00 on the NYSE. At 9:47 AM EDT, NIO stock posted a new all-time low of $3.83, down 5.4% from yesterday’s closing price.
This price level was 72.2% lower than its all-time high of $13.80, which it posted on September 14, a couple of days after its US listing. Out of the last six sessions, NIO stock has fallen in five. Yesterday, the company’s stock fell 5.6% to settle at $4.05.
Latest updates about NIO
NIO is scheduled to release its first-quarter earnings results next week on May 28. Wall Street analysts expect the company to report adjusted net EPS of -3.23 Chinese yuan for the quarter that ended in March 2019. It would be slightly worse than NIO’s net EPS of -3.20 yuan in the fourth quarter of 2018.
Analysts’ consensus data compiled by Reuters suggest that the company’s first-quarter revenue is likely to fall sharply by over 50% on a sequential basis.
Apart from Wall Street analysts’ low expectations for the company’s upcoming earnings, the broader market sell-off, especially in US-listed Chinese companies, could be driving NIO stock down today.
In the next few days, NIO stock could continue to be highly volatile ahead its upcoming earnings results. Any change in Wall Street analysts’ estimates for the company’s quarterly results is likely to result in significant movement. Only better-than-expected results could help NIO stock sustainably recover after its earnings event next week.