Here's Why Nio Sank 21% in the First Half of 2025

Shares of Nio (NYSE: NIO) had a fairly bumpy start to 2025, with shares trading 21% lower through the first six months of the year, according to data from S&P Global Market Intelligence. The Chinese electric vehicle (EV) maker is in a bit of a pickle currently. On one hand it's making cost improvements and launching two new sub-brands, but on the other hand China's EV market is embroiled in a brutal price war that's quickly becoming a race to the bottom.One of the larger developments during the first six months of the year was Nio's first-quarter earnings, which left many investors wanting more. Nio reported a net loss of about $930 million during the first quarter, which was a substantial 30% increase compared to the prior year. The increase was driven by higher research and development as well as marketing expenses. It's widening losses such as this that concern analysts about the company's ability to reach profitability. The first-quarter data wasn't all bad, however. Nio also reported vehicle margin increased to 10.2%, compared to the prior year's 9.2% -- impressive considering the crippling price war. Total revenue and gross profit also increased 22% and 89%, respectively, compared to the prior year. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool