Nio Inc (NYSE:NIO) coat tails Tesla Inc (NASDAQ:TSLA) destiny

In the previous session, stock of NIO Inc. (NIO) opened at $13.50 and last traded at $15.69 x 4000. More than 305,630,352 shares exchanged hands compared to an average daily volume of 83,984,482 shares. At the current pps, the market capitalization stands at 16.604B.

Fundamentals you simply cannot ignore

Investors try to use stocks with high beta values to quickly recoup their investments after sharp market losses. NIO Inc. (NIO) currently has a Beta value of 0.94 . Beta is a measurement of a stock’s price fluctuations, which is often called volatility and is used by investors to gauge how quickly a stock’s price will rise or fall. A stock with a beta of greater than 1.0 is riskier and has greater price fluctuations, while stocks with beta values of less than 1.0 are steadier and generally larger companies. Beta is often measured against the S&P; 500 index. An S&P; 500 stock with a beta of 2.0 produced a 20 percent increase in returns during a period of time when the S&P; 500 Index grew only 10 percent. This same measurement also means the stock would lose 20 percent when the market dropped by only 10 percent.

While we have already looked at NIO Inc beta, the EPS cannot be ignored. NIO Inc EPS for the trailing twelve months was -44.10. Traders and investors often use earnings per share (TTM) to determine a company’s profitability for the past year. So in essence, EPS is the amount of a company’s net income per share of common stock. Earnings per share equal the company’s net income less any dividends paid on preferred stock divided by the weighted average number of common stock shares outstanding during the year. NIO Inc is estimated to release its next earnings report on 12 / 2020. It would be interesting to see how the earnings fair out considering the recent developments.

The Analyst Chirp:

NIO Inc. (NIO) has received an average target price from analysts of $39.89 amounting to a recommendation rating of Hold. That comes from 13 different analysts. Perhaps, the driver for that assessment comes from the company’s valuations.

So whats the buzz ?

As per the recent press release: Company Achieved Record-High Monthly and Quarterly Deliveries

Its important to take a look at the institutional holding in a stock as their next move is to tout the company’s merits and drive interest in the stock and cause a increase in pps. The major holders so far as as follows: 0.72% of Shares Held by All Insider, 42.29% of Shares Held by Institutions, 42.59% of Float Held by Institutions, 310 Number of Institutions Holding Shares.

The top 5 institutioanl holders are as follows:  Baillie Gifford and Company – 101,744,131, Blackrock Inc. – 31,618,922, Vanguard Group, Inc. (The) – 27,491,643, Morgan Stanley – 15,635,507, State Street Corporation – 14,546,410.

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