Written by Cláudio Afonso | LinkedIn | X
Jim Cramer, the host of CNBC’s “Mad Money” show, was asked on Monday about his opinion on Nio stock, the Shanghai-headquartered electric vehicle (EV) maker.
Over the last months, Cramer has been bearish on the stock mentioning the EV competition and the geopolitical risks as two of the main concerns.
In January 2021, when Nio shares were trading around the all time high of over $60 per share, Cramer named Nio “the next Tesla” after the CEO William Li said — for the first time — the brand was considering to start producing mass-market vehicles under a sub-brand.
On Monday, a shareholder asked Cramer if he should cut his losses on the stock or continue holding his position. Here’s the full video.
“My question is regarding Nio. I have a pretty large stake and I’m in it a little under the high. I’m wondering if I should cut my losses on this stock or hold,” he asked.
“Nio is one of those stocks where if you sell it right here, some clown will come out and be real positive about it…Let’s just wait until all that stuff happens and then you can sell it,” Cramer quickly answered.
In mid April, when the stock was trading at around $4.45 per share, Cramer stated “I would sell”. On Friday, the stock closed at $4.63.
About a year ago, in May 2023, he commented on the stock saying “I’m not a big fan of the Chinese stocks, and i’m losing interest in EVs [electric vehicles]. There’s too many competitors,” he stated. The stock was trading around $8 per share back then.
During a livestream event on Sunday, Nio CEO William Li toured the company’s second factory within the NeoPark complex, approximately 300 miles from Shanghai.
Humanoid robots and robot dogs were seen undergoing training for inspection tasks at the facility. On the social media platform Weibo, Sino Auto wrote, “The factory also has humanoid robots and robot dogs in training for inspection tasks.”
The livestream also revealed that production of the L60, the first model from Nio’s sub-brand Onvo, has commenced ahead of the delivery on September 10.
However, a Nio spokesperson clarified to EV that these units are “test cars,” and not the final vehicles intended for customers.
Written by Cláudio Afonso | LinkedIn | X
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The post Jim Cramer Continues Bearish on Nio Stock, Attacks Shareholders first appeared on EV.