Please ensure Javascript is enabled for purposes of website accessibility

Why NIO Stock Is Higher Today

By John Rosevear - Mar 1, 2021 at 10:36AM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Did NIO just confirm plans to enter the European market later this year?

What happened

Shares of Chinese electric-vehicle NIO (NIO -2.68%) were moving higher on Monday, after a report that its CEO confirmed plans to enter the European market later this year. 

As of 10:15 a.m. EST, NIO's American depositary shares were up about 7.7% from Friday's closing price.

So what

NIO CEO William Bin Li said that NIO plans to begin selling vehicles in Europe in the second half of 2021, according to a report from Chinese media outlet The company plans to enter other global markets next year, according to the report.

That confirms a hint dropped by Li in January, when he said that the navigation map in NIO's ET7 show car gave a clue about the company's export plans. It's hard to tell, but reports have suggested that the map shows a location in Oslo, Norway. 

The dashboard of the NIO ET7 show car, with a location visible on the touchscreen.

Does that look like Oslo to you? Image source: NIO.

It won't be surprising if NIO begins its export push with Norway, as the country has the highest rate of electric vehicle adoption in the world. Slightly over half of new vehicles sold in Norway last year were EVs, up from about 42% in 2019. 

NIO rival XPeng began sales of its electric G3 SUV in Norway in December.

Now what

Auto investors won't have to wait long for more details: NIO will report its fourth-quarter and full-year 2020 earnings after the U.S. markets close today. Wall Street analysts polled by Thomson Reuters expect NIO to report a fourth-quarter loss of $0.07 per share on revenue of about $1 billion, on average. 

Note that NIO's earnings call will begin at 8 p.m. EST, or 9 a.m. (Tuesday) Beijing time. 

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Nio Inc. Stock Quote
Nio Inc.
$16.00 (-2.68%) $0.44
XPeng Inc. Stock Quote
XPeng Inc.
$21.98 (-5.54%) $-1.29

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/24/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.