NIO Stock Forecast: Nio Inc pulls back further as markets weigh Russia Ukraine tensions

NYSE: NIO fell victim to market weakness on Thursday, although the recent price downgrade from an Asian firm also seems to be having an impact. Shares of Nio fell by 3.48% and closed the bearish session at $24.72. After starting the week off hot, Nio has pulled back during the last couple of sessions. Nio wasn’t alone on Thursday though, as all three major indices tumbled on renewed concerns over the tensions between Russia and Ukraine. The NASDAQ fell by 2.88%, the S&P 500 dropped by 2.12%, and the Dow Jones plummeted by 622 basis points.

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An analyst downgrade earlier this week seems to be having an impact on Nio investors. Soobin Park of CLSA lowered her price target from $60 to $35 for this year. She still maintains her buy rating for the stock, but it is likely more of a commentary on how far Nio’s stock has fallen over the past year. Investors need to remember that price targets can change throughout the year, and that analyst sentiment is likely more important in the short-term. Wall Street analysts still love what Nio is doing this year, but at least one is acknowledging the stock price could remain suppressed for now. 

NIO stock price

Nio’s rival XPeng (NYSE: XPEV) set the record straight about entering the battery swap market. The company established a new subsidiary called Shanghai Penxu Automobile Sale and Service Co. Ltd. The business is said to revolve around selling battery swap stations and recycling batteries of electric vehicles. Despite this, XPeng says it has no plans to enter the battery swap game that is largely controlled by Nio.