citron company nio

Citron founder Andrew Left, known for some big short calls, recommended Nio shares, now worth $45 each, at $7 two years ago. 153 0 obj <>/Filter/FlateDecode/ID[<01FBE7875CB5D141BB98E90C30CFCF68>]/Index[124 47]/Info 123 0 R/Length 132/Prev 337492/Root 125 0 R/Size 171/Type/XRef/W[1 3 1]>>stream The stock rose as much as 12.2% earlier in the session after upbeat quarterly results from peer Li Auto. It also cites a Deutsche Bank report to support this view: We continue to see some risk that Tesla could materially cut the price of its locally made (MIC) Model Y from 488k RMB ($73k) to This could potentially hurt near-term sentiment and slow down NIO's order book momentum considering it would be a direct competitor to the NIO. NIO is about to report its Q3 earnings, what to watch? Analysts expect NIO sales to reach 100,000 units next year, 1, Lower pricing after Tesla Model Y nationalization will affect NIO's sales. This conclusion, too, commits a conceptual error, as short investors do not choose to be short because their short positions are low, but more so because the company itself is flawed. Now he is short the … As a whole, the rationale for this Citron report is so hollow and weak that it doesn't make for a rigorous chain of logic. I don't think this question should just compare NIO to GM, but more realistically compare the traditional car companies separately from the emerging smart car companies. It's all for these reasons: there are few voucher sources and many people in demand. The stock rose as much as 12.2% earlier in the session after upbeat quarterly results from peer Li Auto. You have to be prepared for large swings in market capitalization (at the psychological level, and at the level of trading strategy), and you also have to be prepared to buy in tranches on the trade. The flip side is brands like "Qoros", which may indeed have good hardware and even affordable prices. What Citron means is that the upcoming China-made Model Y will hit the sales of the NIO EC6 and ES6 at a very low price (starting at, say, RMB 275,000). To wit, while detailing plans for autonomous vehicles, Mobileye’s CEO indicated that the company would switch to in-house lidar sensors by 2025. If you've actually used a car from either camp yourself, you'll see that the real difference isn't electric vs. fuel-efficient, but rather a huge difference in the experience of using the car due to the technology and smart attributes. But whether you are long or short, you can't ignore the economic and policy environment, industry dynamics, and the real-time state of the business. Why is the Citron shorting report on NIO very hollow? What Citron is saying is that because the total number of shares shorted is at an all-time low position, it is more likely to be shorted in the future. 124 0 obj <> endobj All of this is dynamic, and there is no "end game" for companies that have the ability to continue to innovate. I also had a few friends who shorted from $10 and profited handsomely when NIO fell to $2. Lihong Qin, one of NIO’s co-founders, served as deputy general manager at Anhui Chery Automobile Sales and Service Company. Revealing the whales in NIO: Bridgewater is not alone. Why is the interest rate on lending coupons so high? Citron’s Call on NIO Stock Any stock selling for more than 10 times revenue is going to be volatile. According to our analyses, this stock has recently been a big favorite of retail investors and has regularly occupied the top spots on our retail popularity list. This is an absurd conclusion without a rigorous argument or process of proof. Throughout the history of the stock market, growth stocks themselves have been highly controversial, so if you plan to hold NIO, it's best to base it on the mindset of investing in growth stage companies for the long term. Citron Research’s Andrew … %%EOF The latter add personalized and intelligent technology attributes, where not only the software can be OTA'd, but even the hardware can be upgraded midway. Citron doesn't think NIO is worth owning the stock at its current price, but is only worth $25, for a number of key reasons. What Citron is saying is that NIO faces more competition with Tesla's 45% market share in the US EV market and NIO's 3% market share in the Chinese EV market. This statement is a classic logical fallacy, small market share does not mean less competitive, especially since it focuses on a static point in time and ignores trends over time. Their continued investment in intelligent and driverless technology and the results they have achieved are also beyond the reach of traditional car companies. NIO – Citron Pulls the Plug on NIO – 2 Years After Our Controversial Recommendation Price Target $25 . Citron publishes a negative outlook of NIO. State media praises NIO-led battery swap model in two articles on same day. It launched with the introduction of NIO's ES8 model. So, comparing the market cap of $50 billion NIO with Mercedes, BMW, Audi, and GM doesn't make much sense in and of itself. Shares of Nio plunged 14% on Friday after a report from Citron Research warned of an impending 48% crash. This could potentially hurt near-term sentiment and slow NIO's order book momentum considering it would be a direct competitor to NIO's EC6 and ES6. As a result, we can see from the first half of 2019 so far that even though China-made Model 3 sales exceed 10,000 units per month, it doesn't affect the climb in sales of the new Chinese bookmaker, everyone is growing fast. People who used to ride motorcycles are gradually buying Wuling Hongguang MINI EVs, while those with higher demand may choose Tesla or NIOs, giving EV brands at all price points plenty of room to grow. NIO Pilot is the company's SAE level 2 semi autonomous system that offers ADAS features. 0 Two years ago, NIO was trading at just $7 when Citro n recommended buying the stock as the company and its charismatic leader William Li intrigued us. Nio, which has risen more than 12-fold this … ... NIO and Ford the Latest to Idle Production Amid Chip Shortage. Post was not sent - check your email addresses! Citron stated that NIO's stock price should be around USD 25 apiece, around six times higher than at the beginning of 2020 (USD 4), which also supports NIO's decent business performance. After Tesla's market cap rose to $400 billion, Toyota's bosses decided Tesla wasn't worth it all. The following is a translated version of his full article. Sorry, your blog cannot share posts by email. 3, Number of shorted shares and interest rates are at an all-time low. 170 0 obj <>stream Visit site. US short-seller Citron is shorting NIO and says after a rocky road of trading, NIO has found itself in unchartered territory that can never be justified by its current standing in the China EV market or its near-term prospects. It's just that, before they can do all that, they need to forget about their past performance and shed their financial growth targets for the next few years. D2j��L����.��=���H$�d ������`�Z� As Citron Research pointed out, NIO… Citron said in a report on Friday that the recent mania of investors flocking to electric car makers in China shows no deeper understanding of a market that is marked by price cuts. Recently, NIO's share price reached over $50, and XPeng and Li Auto's share price also doubled in a short period of time. The company announced a massive recall of its Li One electric SUVs recently. Citron also tries to support NIO's lack of competition by saying "Tesla sold more than twice as many units as NIO last month".

Iac 87 For Sale, 1979 Prowler Travel Trailer, Wifi Speed Magisk Module, Ice Cream Tortoni Recipe, Sketch A Curve With The Following Properties Chegg, Kerry Blue Terrier Puppies For Sale Ireland, Hermes Next Day Delivery Delayed,