Shares of Chinese EV maker Nio fell 4 % after J.P. Morgan cut the stock to a “hold” and lowered its target price to $4.50, a move that rattled investors already wary of the sector’s valuation pressures. The downgrade came amid broader market softness, with rivals XPeng and Li Auto also slipping as analysts reassess growth prospects and profitability. The decision highlights concerns over rising production costs, intense competition from domestic and international players, and the uncertain regulatory environment for electric vehicles in China. Investors will be watching how Nio responds to the downgrade and whether it can sustain momentum in a crowded market.
Nio Drops 4% on J.P. Morgan Downgrade and $4.50 Price Target, XPeng and Li Auto Slip 24/7 Wall St.
