Shares of NIO Inc. (NYSE:NIO) recorded -4.60% loss during trading session on February 8th, 2019. The script traded as low as $7.28 and last traded at $7.67. 21.65 million shares changed exchanged hands during trading, a drop of -55.77% from the 30-day average session volume of 13.90M shares. The firm had previously closed at $8.04. The company has $1.08B outstanding shares, price-to-earnings-growth ratio of . The company has a RSI of 57.79, ATR of 0.41 and a volatility of 6.92% this week. NIO has a 52 week low price of $5.35 and a 52 week high price of $13.80.
Investors have identified the tech company NIO Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around 8.25B, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
NIO Inc. (NIO) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For NIO, the company has in raw cash 986.61 million on their books with 24.6 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 1.79 billion total, with 257000 as their total liabilities. This figure have given the company a good sense of viability under numerous contexts.
NIO were able to record 1.04 billion as free cash flow during the recently reported quarter of the year, this saw their quarterly net cash flow reduce by 104.4 million. In cash movements, the company had a total of 776.36 million as operating cash flow.
Potential earnings growth for NIO Inc. (NIO)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, NIO Inc. recorded a total of 213.97 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 1.00% coming in sequential stages and their sales for the third quarter increasing by 1.00%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 230.91 million trying to sell their products during the last quarter, with the result yielding a gross income of 16.94 million. This allows shareholders to hold on to 1.08B with the revenue now reading -6200 cents per share.
Is the stock of NIO attractive?
Having a look at the company’s valuation, the company is expected to record -1.21 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on NIO sounds very interesting.
2 out of 10 analysts covering the stock have rated it a Buy, while 5 have maintained a Hold recommendation on NIO Inc. stock. 0 analysts has assigned a Sell rating on the NIO stock. The 12-month mean consensus price target for the company’s shares has been set at $8.00.