Nio (NYSE:NIO) stock is trending up this morning on news that the company’s spinoff — the highly anticipated mass-market Onvo brand — has an official time table to launch. Indeed, the Onvo L60, the brand’s first model, is set to launch in late September. That’s slightly later than previous reports of a Sept. 10 release.
The exact price of the L60 will be revealed at its launch event, Onvo President Ai Tiecheng said in a livestream on Thursday. This will also mark the first time customers will have the chance to test drive the new car.
There’s still even more unknown about the electric vehicle (EV), however, including its driving capacity in terms of miles per charge and even its interior design. Though according to Tiecheng, the brand will show off the inside of the car within the next month.
The L60 first debuted just this past May, with a preorder price of $30,460 to boot. This isn’t likely the full price of the vehicle, but rather the cost to reserve a vehicle upon launch. It’s also about $4,000 cheaper than the Tesla (NASDAQ:TSLA) Model Y which, as one of the best-selling electric SUVs in the world, is the L60’s primary competition.
NIO Stock Continues to Decline Following Tesla Earnings
NIO stock has suffered an unfortunate year in the market thus far. Indeed, the Chinese EV maker is down almost 50% year-to-date (YTD) as yet another loser of this year’s EV coldfront.
Indeed, weakening industry demand, paired with a high interest-rate environment and growing supply costs, has put many major EV companies in the red in the stock market. That includes EV darling Tesla.
Tesla stock is down more than 10% YTD, in the midst of reeling after a disappointing second-quarter earnings call earlier this week. Not alone, Tesla’s sway in the EV market is so great that the report sent nearly every EV maker — including Nio — well into the red on the day. NIO stock itself fell 3% the day Thursday following Tesla’s earnings call Wednesday evening.
On the date of publication, Shrey Dua did not hold (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.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
