Nio Inc. (NYSE: NIO), a Chinese electric vehicle manufacturer, saw its stock rise 9.6% in normal trading on Monday and another 0.5 percent in extended trading.
What happened was this: Nio will organize a “Nio Power Day Event” on July 9 to showcase items and technology related to the Nio Power unit, as well as reveal plans for energy replenishment, according to a report released on Monday.
Meanwhile, in a note published on Monday, Louis Navellier, market strategist and founder of Navellier & Associates, predicted that Nio would eventually dominate the EV market in China and Hong Kong, overtaking market leader Tesla Inc. (NASDAQ: TSLA).
Nio’s shares are experiencing volatility, according to a Barron’s report, as call options volume increased over 200 percent on Monday compared to Friday. Call options are financial contracts that allow the buyer of the option the right to purchase a stock at a predetermined price.
Also see: In the key city of Hefei, Nio establishes another intelligent driving company.
Why Does It Matter? Nio, a Tesla competitor, is depending on service offers to create an impression on Chinese customers. The company invented the concept of battery-as-a-service, which allows people to rent rather than buy a battery.
As part of an aggressive expansion strategy, Nio opened five additional battery swap stations in China on Sunday, bringing the total number of its battery swap stations in the country to 282.
Price Changes: Nio shares finished Monday’s regular trading session 9.6 percent higher at $49.40, and increased another 0.5 percent in the after-hours session to $49.66.
What Investors Should Know About Tesla’s Battery Charging vs. Nio’s Battery Swapping
Nio (C) 2021 Benzinga.com. Photo courtesy of Nio. Benzinga does not offer financial advice. All intellectual property rights are reserved.
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