社区

$NIO Inc.(NIO)$ $NIO won't be the next $TSLA.

As a trend trader, I will avoid $NIO because I don't see any trend. It is likely $NIO will continue to trade sideways until investors are assured that Chinese stocks are not being targeted by China or US. Fundamentally, $NIO is on the right track with every country pushing towards going green and EV is the way to go. Furthermore, $NIO already has a strong foothold in one of the biggest market in the world.

However, I think Western countries are wary of Chinese companies due to privacy, security and geopolitical issues. Just look at Huawei. Chinese government is also wary of their own companies that are being listed in US. Afraid that they may leak national data that are very sensitive nowadays. Just look at $DIDI. Another thing to take note is Chinese government don't like private companies to outgrow the government. Just look at $BABA. That is why Chinese government is taking a heavy hand on all the Chinese stocks listed in US.

I think if they can, they will probably delist every Chinese stock in the US market and that's the worst thing that can happen to $NIO and something I don't want to bet against. Because US government is also looking to set stricter rules for Chinese companies that are listed in the US. How to grow when nobody wants you to grow?

Therefore I don't think $NIO will become the next $TSLA because there are too many odds against their potential. The bigger you become, the more wary both side government becomes of you. If you take one wrong step, you are finished. This is not the kind of long term investment I want to take. There are plenty of stocks out there to invest in. No need to focus on such a controversial one. Good luck. =)