NIO Down Over 8% On Thursday - What's Going On?
Portfolio Pulse from Nabaparna Bhattacharya
NIO Inc. (NYSE:NIO) shares fell over 8% on Thursday, continuing a trend of losing over 45% in the past year. The company's founder, William Li, announced plans for European expansion despite potential EU tariffs on Chinese EVs. NIO opened a new showroom in Amsterdam and has 43 battery swap stations in Europe. Investors can gain exposure to NIO via KraneShares MSCI China Clean Technology Index ETF (NYSE:KGRN) and Invesco Golden Dragon China ETF (NASDAQ:PGJ).

May 23, 2024 | 4:49 pm
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NEGATIVE IMPACT
KraneShares MSCI China Clean Technology Index ETF (KGRN) may be impacted by NIO's stock decline, as it provides exposure to NIO and other Chinese clean technology companies.
KGRN holds NIO among other Chinese clean technology companies. NIO's significant stock decline could negatively impact the ETF's performance in the short term.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 50
NEGATIVE IMPACT
NIO shares fell over 8% on Thursday amid European expansion plans and potential EU tariffs on Chinese EVs. The company opened a new showroom in Amsterdam and has 43 battery swap stations in Europe.
The significant drop in NIO's stock price is directly linked to the uncertainty surrounding potential EU tariffs on Chinese EVs, which could impact NIO's European expansion plans. The market is reacting negatively to this uncertainty.
CONFIDENCE 95
IMPORTANCE 90
RELEVANCE 100
NEGATIVE IMPACT
Invesco Golden Dragon China ETF (PGJ) may be affected by NIO's stock decline, as it includes NIO among its holdings.
PGJ includes NIO among its holdings. The significant drop in NIO's stock price could negatively impact the ETF's performance in the short term.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 50