Boeing Sees Orders for the 737 Max and Nio Jumps on A Profit Surprise
Boeing is the world’s biggest aviation company and driving producer of business jetliners, defense, space, and security systems. 2020 was a rough year for Boeing with its stock losing 34% for the year, and at its low, down nearly 75%. Moreover, they saw continued issues with the 737 MAX and the pandemic’s impact on commercial airlines.
Things are turning around a bit as Boeing saw some new orders Monday as airlines’ eye post-pandemic growth, but China still hasn’t cleared the 737 Max to return to service. United Airlines will buy 25 more Boeing 737 Max jets, to bring its total Max order to 180. United also seeks to have 45 deliveries for the 737 Max jet moved up.
Boeing’s stock rose 5% to 222.56 on the market today. Boeing stock is consolidating with a 244.18 buy point, according to MarketSmith chart analysis.
NIO Inc. is a pioneer in China’s electric vehicle market. According to NIO, they “design, jointly manufacture and sell smart and connected premium electric vehicles, driving innovations in next-generation technologies in connectivity, autonomous driving and artificial intelligence.”
NIO has risen 1,680% over the past year and is valued at more than $90 billion, or more than 30 times sales. Fourth-quarter results for NIO were solid with a reported doubling of deliveries to 17,353 vehicles. NIO’s new, lively EC6 electric hybrid also beat two more seasoned electric SUVs (the ES8 and ES6) in December of 2020.
The gross margin of NIO improved 4.5% between quarters 2 and 3, and their vehicle margin improved from 4.8% between quarters 2 and 3. At the end of September, NIO had $3.3 billion in cash.
I am not a financial advisor and my comments should never be taken as financial advice. Investments come with risk, so always do your research and analysis beforehand.