- NYSE: NIO has closed Thursday's trade 1% higher and is set to extend its gains on Friday.
- Nio has announced it is offering a limited zero downpayment for its vehicles.
- The chart shows that clear a low hurdle may open the door to the monthly highs.
A financial risk or the best way to capture market share? Nio Inc (NYSE: NIO) has been betting on expanding its sales, even at the expense of handing out cars without any initial cost. Investors seem to like the idea, pushing shares higher.
After closing at $58.34 on Thursday, an increase of 1.09%, Friday's premarket trading is pointing to another increase of 0.55%, which would send shares to the highest since January 14. It would not take much more for NIO to surpass the peak closing price of 2021, which stands at $62.70.
NIO Stock News
The Shanghai-based electric vehicle maker has announced that customers may grab one of three different models without making a down payment. The limited-time proposition runs through February 28 – which is ample time to make a substantial amount of sales.
This recent move is no the first by NIO – it is repeating a similar feat it initially performed back in September 2019. Back then, the trigger was an attempt to raise sales, while the 2021 zero downpayment approach could be an attempt to compete with Tesla in China.
Investors were happy to see large growth percentages in the company's earnings reports – even at the cost of slower cash flow. At this juncture, markets seem to support NIO's move to expand its reach. It is essential to remember that every car sale implies servicing costs – including those for batteries.
More NIO Stock Price Forecast: Carmaker weathers comments calling for a correction, a sign of strength
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
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.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. 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. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD clings to gains above 1.0800 after US data
EUR/USD trades in positive territory above 1.0800 in the American session on Tuesday. Disappointing consumer sentiment data for March and New Home Sales figures from the US weigh on the USD, allowing the pair to hold its ground.
GBP/USD trades around 1.2950 with eyes on tariffs, geopolitics
GBP/USD builds on Monday's modest gains and trades at around 1.2950 in the second half of the day on Tuesday. The improving risk mood and dismal Consumer Confidence data from the US make it difficult for the USD to find demand and support the pair.
Gold extends recovery beyond $3,030 on broad USD weakness
Gold preserves its bullish momentum and trades above $3,030 on Tuesday. The broad-based US Dollar weakness on weak macroeconomic data releases help XAU/USD push higher as investors remain focused on geopolitical and tariff headlines.
Bitcoin stabilizes around $87,000 as it displays a classic beta response to traditional markets
Bitcoin stabilizes around $87,000 on Tuesday after extending a recovery over the past two days. A Crypto Finance report highlights that the crypto market followed the broader risk momentum, displaying a classic beta response to traditional markets.
Seven Fundamentals for the Week: Tariff news, fresh surveys, the Fed's preferred inflation gauge are eyed Premium
Reports and rumors ahead of Trump’s reciprocal tariffs announcement next week will continue moving markets. Business and consumer surveys will try to gauge where the US economy is heading. Core PCE, the Fed's preferred inflation gauge, is eyed late in the week.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.