The ‘Tesla Fighter’ stock is waaay up!
Nio has hit the NYSE… and shares were up 76% on Thursday, just the second day of trading. These results are particularly interesting because Nio had to lower their IPO to the lower end of their price range before the big day. On the first day of trading, the stock closed up 5% but was down as much as 15%.
Nio is just four years old… and is the company that vows to battle Tesla in China, the world’s most significant electric vehicle market. The company has investors that include Tencent and Baidu and now has $1 billion from the IPO. Still, the electric-car company remains small in scale, but certainly has huge aspirations for the future.
It could be a bumpy road ahead… for Nio which is entering a market with fierce competitors that include Tesla, Byd (which Warren Buffet invests in), and Byton. Volkswagen and Ford are also eyeing the electric car market, and specifically in China. But if everyone let ‘too much’ competition stop them, where we would be today?