Hi, today we are going to talk about NIO and its current landscape.
NIO the Chinese challenger of Tesla, after a report of US$ 5 billion in losses in the last quarter, fought to survive and surprised in this third quarter with the delivering of 4,799 vehicles, a 35.1% surge in sales and also they exceeded the middle point of its guidance range by 499 vehicles ( 11.6%).
The CEO of Nio William Li promised early this year that the company would be profitable in a short time than Tesla, credited this quarter better results to more competitive retail prices. Li expects that the company's results will gain traction through the fourth quarter.
The winds could be changing for NIO if the company take advantage of the cheaper cost for Lithium-ion batteries that had their price 80% cheaper than in 2010, the battery present, and almost all cars produced by the NIO (excluding the Hypercar EP9). Plus, the spreading of autonomous electrical vehicles adoption, that had gained popularity, and have a fertile future as Counties like Norway, Germany, France, China, Costa Rica, South Korea, the UK, Spain, Taiwan, Portugal, Netherlands, Israel, India, Denmark, and Ireland. Are set to ban or significantly reduce cars moved by fossil fuels combined with incentives for electric car owners.
Although the future of electric vehicles looks promising, and NIO seems to have started to harvest the fruits of this new paradigm a plague could be coming from the trade talks between U.S and China since the company it's backed by the colossal company Tencent, restrictions or sanctions and tariffs of the U.S government could hit NIO in a direct or an indirect way. Trying to look on the bright sight of the problem if the Chinese and American economy distance themself even more than now, that could allow NIO to achieve a higher level of maturity like Tesla has been performing lately without strong foreign competitions. However, it's up to NIO to face the domestic competition of companies like Enovate; SAIC; Qiantu Motor; Qoros; AIWAYS; Leapmotor; Karma Automotive (based on California but owned by the Wanxiang Group) and Geely. Even with the Tecent support, and the last results reported by the company, there is a lot to be done so NIO can survive and then be able to fight for its grow inside this market.
Thank you for reading and leave your comments if you like.
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Disclaimer: All content of Golden Dragon has only educational and informational purposes, and never should use it as financial advice
NIO the Chinese challenger of Tesla, after a report of US$ 5 billion in losses in the last quarter, fought to survive and surprised in this third quarter with the delivering of 4,799 vehicles, a 35.1% surge in sales and also they exceeded the middle point of its guidance range by 499 vehicles ( 11.6%).
The CEO of Nio William Li promised early this year that the company would be profitable in a short time than Tesla, credited this quarter better results to more competitive retail prices. Li expects that the company's results will gain traction through the fourth quarter.
The winds could be changing for NIO if the company take advantage of the cheaper cost for Lithium-ion batteries that had their price 80% cheaper than in 2010, the battery present, and almost all cars produced by the NIO (excluding the Hypercar EP9). Plus, the spreading of autonomous electrical vehicles adoption, that had gained popularity, and have a fertile future as Counties like Norway, Germany, France, China, Costa Rica, South Korea, the UK, Spain, Taiwan, Portugal, Netherlands, Israel, India, Denmark, and Ireland. Are set to ban or significantly reduce cars moved by fossil fuels combined with incentives for electric car owners.
Although the future of electric vehicles looks promising, and NIO seems to have started to harvest the fruits of this new paradigm a plague could be coming from the trade talks between U.S and China since the company it's backed by the colossal company Tencent, restrictions or sanctions and tariffs of the U.S government could hit NIO in a direct or an indirect way. Trying to look on the bright sight of the problem if the Chinese and American economy distance themself even more than now, that could allow NIO to achieve a higher level of maturity like Tesla has been performing lately without strong foreign competitions. However, it's up to NIO to face the domestic competition of companies like Enovate; SAIC; Qiantu Motor; Qoros; AIWAYS; Leapmotor; Karma Automotive (based on California but owned by the Wanxiang Group) and Geely. Even with the Tecent support, and the last results reported by the company, there is a lot to be done so NIO can survive and then be able to fight for its grow inside this market.
Thank you for reading and leave your comments if you like.
Join the Traders Heaven today, for more exclusive contents!
Link bellow!
Disclaimer: All content of Golden Dragon has only educational and informational purposes, and never should use it as financial advice