The Security and Class in the table below are shown exactly as filed by the investor. We do our best to track continuity of investments through acquisitions, and this will be reflected in
the table as changes in names. In addition to descriptive data, performance of the investment
is shown over time. To calculate quarterly performance, we first calculate cost basis of the shares purchased during the quarter, then use
that to calculate gross profit.
- Worse-than-expected overall auto market sales/EV demand; and worse-than-expected competition from rivals with products at similar price points.
- JPMorgan Chase reduced its position in XPeng by about 25 percent in the fourth quarter, from 2.58 million shares at the end of the third quarter to 1.94 million shares at the end of last year.
- In addition to reporting standard equity and debt issues, institutions with more than 100MM assets under
management must also disclose their put and call option holdings.
- To calculate quarterly performance, we first calculate cost basis of the shares purchased during the quarter, then use
that to calculate gross profit.
- The market rally remains “under pressure.” Investors still need to see a little more market strength and a lot more buying opportunities.
The iShares Expanded Tech-Software Sector ETF (IGV) sank 1.45%, with Microsoft a big IGV component. AMD stock is a major SMH holding with ON stock also in the ETF. Tesla doesn’t break out China sales, but weekly data so far show a solid start to local sales there. But there are reports that Tesla Shanghai has closed for five days around the Labor Day holidays there.
U.S. crude oil futures fell 1.1% to $76.78 a barrel in the past week, even with Friday’s 2.7% bounce. Gasoline futures dipped 0.9% for the week, but 9.1% in the past two weeks. Also, Arista Networks (ANET) is on tap to report first-quarter earnings Monday night. ANET stock, a big supplier for Meta Platforms and Microsoft, found support at its 50-day line this past week. China EV startups Li Auto (LI), Nio (NIO) and XPeng (XPEV) reported April deliveries early Monday. Li Auto sales surged to a fresh record of 25,681 hybrid SUVs, up 23% vs. March and 516% vs. a year earlier.
Nio Analyst Sees Opportunities In 2022 And Beyond; So Why Is He Halving The Price Target?
Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session. Regional bank stocks plunged midweek to fresh lows on First Republic’s deposit flight but rallied late in the week. The SPDR S&P Regional Banking ETF (KRE) edged lower Monday morning. PNC Financial, a notable KRE component, fell modestly after losing the First Republic bidding war.
It is important to perform your own research before making any investment and take independent advice from a registered investment advisor. The author has no position in any stock mentioned in this article and no business relationship with any company mentioned. While the end-of-week rebound didn’t trigger a lot of breakouts and early entries, many stocks did start to move into position. Meta stock and other tech titans fueled a strong gain Thursday. QQEW and RSP lagged QQQ and SPY, respectively, but still did well.
- JPMorgan Chase also reduced its holdings in Li Auto by 13.5 percent in the fourth quarter, from about 2.3 million shares to 1.98 million shares.
- So far, the company is beating that total; Nio reported 92,493 vehicle deliveries from January 1, 2022 to October 30; that represents a 32% y/y gain.
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- While the end-of-week rebound didn’t trigger a lot of breakouts and early entries, many stocks did start to move into position.
Tesla also reportedly has begun offering some modest discounts on some Model 3 and Y inventory vehicles in Europe. Meanwhile, EV-focused chipmaker On Semiconductor (ON) topped Q1 views before the open. Shares fell 2.4% last week along with other EV-exposed chipmakers amid concerns about EV demand, but did come off lows to close above its 200-day line. Nio Inc, a leading Chinese electric vehicle manufacturer, on Monday June 12th received 6 analyst research reports resulting in changes to the coverage in the stock forecast.
FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. The author will not be held responsible for information that is found at the end of links posted on this page. NIO will continue its bearish trend once the candle for today’s Tuesday goes live. A declining series of lower highs sees support come at $38.66 with weaker support at $41.92. To retake a bullish theme NIO shares would need to break above $52.
NIO is a Chinese electric vehicle (EV) manufacturer designing manufacturing and selling smart EV’s. Crucially, the Wall Street behemoth now expects NIO to capture https://g-markets.net/helpful-articles/the-bull-flag-pattern-trading-strategy/ 7 percent of the cumulative EV market by 2025. At a more granular level, JP Morgan predicts that NIO will capture a whopping 30 percent of the premium EV segment.
Market Rally Analysis
Initially, megacaps such as Meta Platforms (META) and Microsoft (MSFT) led the comeback, but breadth improved late in the week. In its latest report, JP Morgan gave NIO an Overweight rating and admitted that “we missed the stock’s major rally YTD.” As of the last closing, Nio Inc Class A ADR’s stock price was USD 8.40.
On Friday, the indexes rose modestly, with RSP outperforming, roaring back above its 50-day line. The Nasdaq came down to its 50-day line on Tuesday, as First Republic spooked investors once again. The S&P 500 and Dow Jones are near that level, undercutting their 21-day lines by midweek.
The chart to the right plots
the historical put/call ratio for this instrument. If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet. The delivery targets for Q disappointed investors who had been hoping for a continued strong pace of growth. But battery issues and the well-flagged semiconductor problems were mentioned by CEO William Li on the analyst call.
Monday Earnings, Sales
Despite the major indexes closing higher, there weren’t many opportunities to beef up positions. If the market rally really strengthens, those chances will come. If the indexes whipsaw with weak breadth, you’ll be glad you’re mostly in cash. Among growth ETFs, the Innovator IBD 50 ETF (FFTY) sank 3.6% last week, with several components suffering huge earnings losses. The Innovator IBD Breakout Opportunities ETF (BOUT) edged up 0.3%.
These rating changes indicate varying perspectives on the future performance of the company’s stock. Those deliveries slowed down as summer wound to a close, and the October total was 5,101 deliveries. While down from August’s strong number, the October total was still up 56% year-over-year, and represents a seasonal effect more than anything else. The drill-downs for October show that the company’s sedans are its most popular models, with the P7 smart sports sedan showing 2,104 deliveries and the P5 family sedan showing 1,665.
We ran them both through the TipRanks database to see what the rest of the Street thinks. In the third quarter of 2020, when the stock was in a big run towards the all-time high of $66.99 per share reached in January 2021, the firm held over 10 million shares in the EV maker. Although, JP Morgan Chase & Co. sold nearly 80% of its position ending the year with 2,743,291 shares. JPMorgan Chase & Co filed Thursday a 13F-HR reporting the ownership of 5,628,106 shares in the EV maker NIO as of the end of Q representing an increase of 33.12% from the first quarter of the year. Tesla Inc. is scheduled to report second-quarter earnings after the bell next Wednesday, with all eyes on the EV maker’s sales amid expectations that it could be another blowout quarter for the company.
NIO stock bounces back again, and J.P. Morgan suggests it may be ‘bottoming out’
This is down from the 4.5 time multiple that was applied in the past, the analyst said. The analyst noted that the company will begin deliveries of its ET7 sedan by late first quarter and will follow it up with the ET5 mid-size sedan and the ES7 SUV. JP Morgan analysts led by Nick Lai raised their price target on NIO sharply to $40 in a report released on Wednesday. NIO Inc. is a pioneer in China’s premium electric vehicle market. “Bringing our history, global scope and experience, we also share our industry know-how and partnership with NIO’s treasury team to develop its expertise,” says J.P.
Nio started delivering vehicles in 2018, and its lineup now contains both compact- and mid-sized sedans and 5-seat SUVs. Over the past several years, Nio has reaped the benefits of Chinese government policies that promote the switch from combustion to electric vehicles. The stock was not the only one to be downgraded by Wall Street firms, JPMorgan was not the only one. As part of the same move, Barclays cut its price target to $10 from $18 in a note released on Wednesday. The firm also upgraded its rating to equal weight from overweight, saying that it does not expect “large spending to slow down anytime soon.”
Analyst Nick Lai downgraded Nio’s stock from overweight to neutral and said it will become more and more challenging for the electric vehicle maker to deliver on its high expectations as time goes on. Due to a contraction in vehicle margins, according to him, the firm’s fourth-quarter results were a miss. Morgan’s Nick Lai “tactical” downgrade of the China-based electric vehicle maker, citing concerns that margins could deteriorate further the company will miss delivery goals. Investors likely cut exposure in the past week as many stocks erased gains or flashed sell signals.
The S&P 500 and Dow Jones topped their April peaks with all the major indexes near 2023 highs. LI stock rose modestly before the open, signaling a move above all its moving averages. Weekly data had given strong signals about monthly deliveries for all three companies. First Republic is the second-largest U.S. bank failure ever, surpassing Silicon Valley Bank and Signature Bank. Only Washington Mutual’s collapse during the financial crisis was larger. The Federal Deposit Insurance Corp. will share losses on First Republic’s loans and will give $50 billion in financing to JPMorgan.
The downgrade comes as the electric vehicle maker sector experiences significant growth and attention from investors, with many companies seeing their stock prices soar. Nio has been one of the most successful electric vehicle maker companies in China, with strong sales and a loyal customer base. However, JPMorgan’s warning suggests that investors may have become overly optimistic about the company’s future prospects, leading to potential disappointment down the road. JP Morgan has also identified several near-term catalysts for NIO shares. These include the upcoming Q earnings, expected to be disclosed by mid-November.