NIO Stock Is Sliding Thursday: What's Going On?

Zinger Key Points

Shares of Chinese EV maker NIO Inc – ADR NIO fell around 3% to $4.00 on Thursday, tracking broader weakness in U.S.-listed Chinese stocks after Alibaba Group reported mixed fiscal fourth-quarter results. Alibaba shares dropped 8.1% to $123.05 after missing revenue expectations, despite beating earnings estimates.

What To Know: Alibaba posted $32.58 billion in quarterly revenue, falling short of the $33.08 billion analyst consensus. Although adjusted earnings per ADS came in strong at $1.73 versus estimates of $1.48, the topline miss and deceleration in some key business segments weighed on investor sentiment.

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In particular, declines in logistics revenue and planned pullbacks in direct sales raised concerns about broader macro and consumer demand trends in China.

Why It Matters: As a China-based growth stock, Nio is often viewed in tandem with other major Chinese firms like Alibaba. When a heavyweight like Alibaba underperforms or signals broader economic uncertainty, it tends to trigger sympathy selling across U.S.-listed Chinese equities, especially those tied to consumer demand and domestic growth.

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How To Buy NIO Stock

By now you're likely curious about how to participate in the market for NIO – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

In the case of NIO, which is trading at $4.0 as of publishing time, $100 would buy you 25.0 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

According to data from Benzinga Pro, NIO has a 52-week high of $7.71 and a 52-week low of $3.02.

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NIONIO Inc
$4.02-2.66%

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