NIO (NIO) could be one of the top performers of 2021.
After pulling back from about $65 to $45, the stock could retest its prior highs. All after the electric vehicle maker announced it will begin selling EVs in Europe in the second half of the year, according to Bitauto.com. By 2022, the company plans to enter other global markets.
Europe could offer significant opportunity to NIO.
In Europe, “Automakers need to sell more electric vehicles after EU lawmakers in December 2018 ordered them to cut CO2 emissions by 40 percent between 2007 and 2021, and then by a further of 38 percent by 2030, or face fines,” as reported by Automotive News Europe.
Better, Europe superseded China as the global driver of electric car sales in 2020 for the first time in five years, as total EV sales jumped 43% despite the CV-19 crisis hitting overall car sales, according to data from EV-volumes.com. It was the combination of new attractive models, incentive boosts by green recovery funds, the 95g CO2 mandate, much-improved availability and intense promotion of EVs,” EV-volumes said, referring to the higher European sales,” added S&P Global Platts.
Investors may want to use weakness in NIO as an opportunity to buy.
