Nio Shares Drop 5.29% Amid Geely Stake Acquisition
Written with artificial intelligence.
Nio (NYSE:NIO) shares fell 5.29% to close at $3.40 following news of Geely's (OTC:GELYF) 30% stake in Nio Power, the company's battery swapping business. With Q3 results expected in November, investors are hoping for improvements in profitability.
Stock Performance
On September 29, 2026, Nio's stock closed at $3.40, experiencing a decline of 5.29%. This downturn is attributed to Geely's recent acquisition of a 30% stake in Nio Power, which has raised concerns among investors regarding the company's financial trajectory.
Trading volume for Nio reached 53.8 million shares, significantly higher than the three-month average of 30.2 million shares. Since its IPO in 2018, Nio's stock has decreased by 48%.
Broader Market Context
The S&P 500 closed down 0.18% at 7,670, while the Nasdaq Composite fell 0.09% to 26,798. Other Chinese electric vehicle manufacturers also saw declines, with Li Auto (NASDAQ:LI) down 4.10% to $11.23 and XPeng (NYSE:XPEV) down 4.82% to $9.47, reflecting overall weakness in the battery-electric vehicle segment.
Implications of Geely's Stake
Geely's investment in Nio Power, valued at approximately $2.4 billion, suggests confidence in Nio's battery swapping technology. However, the focus remains on Nio's ability to achieve profitability after reporting a net loss of about $78 million in Q2. The upcoming Q3 report in November is anticipated as a potential turning point for the stock if it shows positive financial results.
This article is for information only and is not investment advice.