NIO Stock Alert: Nio Launches Partnership With Tibber

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  • Shares of Nio (NIO) stock are moving higher on two key announcements.
  • The company announced the commencement of its next-generation battery-swapping technology.
  • Additionally, a key partnership with an energy technology company has investors excited.
NIO stock - NIO Stock Alert: Nio Launches Partnership With Tibber

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One of the biggest moves among larger-cap stocks today belongs to Nio (NYSE:NIO). Shares of NIO stock are up around 3% in early afternoon trading, as investors price in some exciting news into this company’s stock price.

Earlier this morning, Nio announced the company has commenced operating more efficient battery swapping stations in China. These stations, which allow for vehicles to simply have their batteries completely swapped out (much faster than charging the battery, in most cases), have become a hit, particularly among drivers who may use their vehicles for long-distance driving.

Additionally, the company also announced a new partnership with energy technology company Tibber. This partnership will allow existing customers to “track their energy usage, find real-time energy prices and control the charging of their electric car — ideally when electricity prices are at their lowest.”

Let’s dive into what investors should make of these key announcements today.

NIO Stock Moves on Key Updates

These two announcements certainly are bullish, particularly for long-term investors considering top electric vehicle (EV) plays right now.

Nio’s focus on battery-swapping stations is something I think is worth investors’ focus. In North America and Europe, most of the focus in the EV sector centers on more efficient battery charging. However, the inconvenience of both the time it takes to charge a vehicle, as well as the cost of doing so (which is much more for those supercharging versus charging overnight) makes battery-swapping technology intriguing to many who are bullish on this space over the long-term.

Nio is a leader in this regard, and I think these next-generation battery-swapping stations could be a game-changer. Drivers can swap out their battery packs (with hundreds of miles of range) in about five minutes, or roughly the same amount of time it takes to fill up a gas tank. Thus, this is one pain point for EV ownership that Nio is looking to completely eliminate.

Additionally, the ability for users to better track their electricity expenditures could be a much bigger deal in the future. As electricity costs rise, this will be another pain point for EV owners. Thus, Nio is a company looking to address these problems at an early stage. That’s something I think is worth considering.

On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.


Article printed from InvestorPlace Media, https://investorplace.com/2023/03/nio-stock-alert-nio-launches-partnership-with-tibber/.

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