Shares of popular Chinese electric-vehicle (EV) maker NIO (NYSE: NIO) sank 14.9% in March, according to data provided by S&P Global Market Intelligence. That added to a February drop, bringing the two-month decline to more than 30%.
NIO shares soared along with other stocks in the EV sector in 2020. But as interest rates began to rise in early 2021, investors started to rotate out of high-growth stocks like NIO that are valued on future earnings, and into value names.
NIO also had company-specific news in March, including releasing its fourth-quarter and full-year 2020 financial results, and a direct impact from the global semiconductor shortage.