Nio’s stock drops toward 3-year low ahead of EV sales update

Shares of Nio Inc.
NIO,
-3.06%
took a 3.2% hit in afternoon trading Tuesday, to put it on track for the lowest close since June 29, 2020. The selloff comes the day before the China-based electric vehicle maker reports vehicle sales for the month of October. The stock has plunged 52.4% amid a three month losing streak, which is the longest such streak since the 6-month losing streak that ended April 2022. The stock was also headed for the worst three-month performance since it plummeted 58.2% over the three months ended October 2019. Data out of China overnight showed that manufacturing activity unexpectedly contracted in October. Also weighing on the EV maker’s stock were concerns over demand given downbeat outlooks from Japan-based EV battery maker Panasonic Holdings Corp.
PCRFY,
-6.42%

6752,
-8.91%
and from makers of semiconductors for the auto industry. Among Nio’s China-based rivals, which will also report October sales data on Wednesday, shares of XPeng Inc.
XPEV,
-2.88%
have dropped 21.1% in October, but had gained 3.2% in September; and Li Auto Inc.’s stock
LI,
-3.73%
has lost 5.2% this month and 21.0% amid a three-month losing streak,