NIO Inc.

NIO Inc. (NYSE: NIO) engages in China's premium electric car sector. The firm develops, co-manufactures, and distributes smart and connected luxury electric cars, pushing innovation in next-generation technologies like connectivity, autonomous driving, and artificial intelligence. Its models include the EP9 supercar, ES8, ES6, and EC6.

Key Highlights

• The company reported a 116.64% increase in total revenues to RMB 9.81 billion in Q3FY21 (ended September 30, 2021) compared to RMB 4.53 billion in Q3FY20.
• NIO reported a decline in net losses to RMB 0.84 billion in Q3FY21 from RMB 1.05 billion in Q3FY20.
• The company shipped 3,667 vehicles in October 2021, a 27.5% decline YoY owing to manufacturing line improvements, preparation for new product releases, and significant supply chain volatility.
• The company's ROE and net margins were -11.3% and -8.5% in Q3FY21 vs. the industry median of 1.8% and 6.4%, respectively.
• The stock is currently trading between its critical short-term (50-day) and long-term (200-day) DMA support levels, with the RSI Index at 45.92.
• It is leaning towards the lower band of the 52-week range of USD 30.71 to USD 66.99.
• NIO stock price has declined 29.51% and 19.93% in the past nine and twelve months, respectively.

Technical Price Chart (as of November 19, 2021). Analysis by Kalkine

Conclusion: Considering the significant losses, margins pressure, and technical indicators, we recommend a "Watch" rating on the stock at the current price of USD 38.80, up 1.02% as of November 19, 2021, at 12:02 PM ET.

*The reference data in this report has been partly sourced from REFINITIV.

NewAge, Inc.

NewAge, Inc. (NASDAQ: NBEV) is a company that develops, sells, and distributes a portfolio of healthy goods mainly through a direct to customer business model, with the support of a team of brand partners and distributors to advertise and sell the portfolio of brands.

Key Highlights

• The company reported an 84.67% increase in net revenues to USD 349.11 million during 9MFY21 (ended September 30, 2021) compared to USD 189.05 million during 9MFY20.
• In addition, NBEV reported a decline in a net loss to USD 3.10 million during 9MFY21 from USD 35.31 million during 9MFY20.
• Its reinvestment rate and net margin declined to -1.2% and -2.7% in Q3FY21 vs. 8.4% and 14.0% in Q2FY21, respectively.
• On November 16, 2021, NBEV announced the discovery of a novel mechanism of action for combating the effects of ageing and the submission of a new patent to preserve the discovery's originality.
• The stock is currently trading below its key short-term (50-day) and long-term (200-day) DMA support levels, with the RSI Index at 28.74, indicating an oversold zone.
• It is leaning towards the lower band of the 52-week range of USD 1.16 to USD 4.55.
• NBEV's stock price has declined 45.25% and 61.59% in the past six and nine months, respectively.

Technical Price Chart (as of November 19, 2021). Analysis by Kalkine

Conclusion: Considering the macroeconomic conditions, margins pressure, and technical indicators, we recommend a "Watch" rating on the stock at the current price of USD 1.21, down 2.42% as of November 19, 2021, at 12:06 PM ET.

*The reference data in this report has been partly sourced from REFINITIV.