How can you buy NIO shares?
NIO is a Chinese manufacturer of electric cars. The Chinese call NIO Weila. The meaning of this Chinese word is ‘blue sky is coming’. With its electric car, the company wants to contribute to making the air cleaner. This Chinese company is, according to its own words, developing the car of the future. In China the company is called the ‘Tesla-killer‘.
An investment in NIO can therefore certainly be interesting: especially when you consider that the stock price became 25 times more valuable in one year time. But what is the best place to buy NIO stocks?
Where can you buy NIO stocks?
Are you confident that NIO will defeat Tesla? The market for electric cars is huge and will grow enormously in the future. It can therefore be very interesting to invest in a company like NIO. A good broker to invest in Chinese companies is eToro. At eToro you don’t pay commissions on stock transactions. Certainly in the case of foreign investments, the benefit can be considerable. Use the button below to open a free account immediately:Your capital is at risk. Other fees apply. For more information, visit etoro.com/trading/fees.
How can you actively invest in NIO?
Do you want to actively trade in NIO shares? NIO is a start-up that can still make crazy leaps. By actively trading the share, you can place orders on both the downward and upward movements. Plus500 is a good way to actively trade in NIO stocks. Plus500 allows you to invest in the company with CFDs. Use the button below to directly open a free demo account with Plus500:72% of retail CFD accounts lose money.
What is the current stock price of NIO?
Are you curious about the current CFD course of the company NIO? In the graph below you can see the current CFD share price of the company NIO. You can also use the buttons to open a position directly.
Is it wise to invest in NIO?
There are various arguments for and against buying NIO stocks. Before you invest in NIO, it may in any case be wise to analyse the car market carefully. If the economy is doing well and people buy more cars, this has a positive effect on the company’s results.
Much more important are the developments and innovations released by the company. Good news about new prototypes can give the NIO share price a considerable boost. Compare the products well with the competition from comparable car manufacturers: in this way you can determine whether NIO can keep up with the competition.
Before investing in NIO, it is important to check whether the current price level is realistic. In 2020, electric driving through Tesla will be quite a hype: the stock price of the Chinese NIO has also become worth 25 times as much in just a few months. You often see quite a correction in the future with this kind of huge increases. This also happened for example at several cannabis companies, which was a hype in the year 2018.
It is also particularly important to analyse the Chinese market properly. The domestic market is going through a difficult period and, moreover, the company is receiving fewer and fewer subsidies. The company is not yet making a profit and will need new financing in the future. This makes an investment in NIO risky. By actively investing, you can also benefit in the future from falling share prices.
The Chinese start-up NIO
NIO is one of the first Chinese start-ups to focus on electric cars. When the company was founded in 2014, it was called Next Car. This name was changed to NIO a few years later. The company was founded by the Chinese entrepreneur Bin Li and its head office is located in Shanghai.
The company will employ over 4,000 people in 19 locations by 2018. These sites are located in China, the US and Europe.
What NIO wants to achieve
The first car of NIO is the NIO EP9. This racing car is faster than the fastest car of Tesla. NIO designs and produces smart electric vehicles. The company also conducts research into artificial intelligence and the possibility of self-propelled cars. The first self-propelled electric car may appear on the market in 2020. Self-propelled cars are expected to make up 20% of the car market in ten years’ time. The company NIO hopes to distribute its cars all over the world by then.
NIO does not, like Tesla, produce the more expensive premium cars. The company focuses on electric cars for the middle class. For the time being, NIO also focuses primarily on the Chinese market. Do you think this is a good move? Then buying NIO shares can be very attractive.
NIO is not yet a Tesla killer
It is a little premature to call NIO a Tesla killer. At the moment (2020) Tesla is the best known and most popular electric car. NIO is still in the process of acquiring a market share. Moreover, a Tesla can drive up to 1,000 kilometres on a full battery. That is much more than the 350 kilometres that an electric car from NIO can drive with a full battery. NIO is not yet an actual competitor of Tesla. The advantage of NIO’s electric cars is that they are much cheaper.
Do you think the NIO will succeed in being a serious competitor to Tesla in the future? In that case, it could be very interesting to buy NIO stocks.
Other products and services of NIO
NIO does not only earn its money by selling electric cars: the company also offers Power Home which are charging stations for people’s homes. NIO also offers services. An example is the Power Express. This service, which is on standby for 24 hours, charges customers’ batteries. Money is also earned by selling insurances for his electric cars. Do you think that these services contribute to the performance of the NIO stocks? Then you can certainly consider making an investment!
NIO in the future
NIO can be an attractive, but not entirely risk-free investment. The Chinese company produces cheaper than Tesla. If they manage to build up a larger market share, they can make huge profits. The market for electric cars will become huge in the future. Do you think NIO will succeed in building a strong position in this market? In that case, it is wise to buy NIO stocks.