1 Massive Problem Facing Nio Investors. Is the Stock Still a Buy?

It almost seems impossible to think China's automotive market was once the most desirable in the world. At a time when China's automotive market sales were exploding, foreign automakers were quick to enter the market and make a buck while the young and inexperienced Chinese automakers watched and learned.Fast forward to today, and the story has nearly flipped. While auto sales are still lucrative in volume, the country is embattled in a brutal price war that has eroded profits. And for competitors like Nio (NYSE: NIO), a little more bad news is on the way.If you're invested in global automakers, you've likely heard a thing or two about the situation in China. Market leader BYD continued to apply pressure in late May when it announced an aggressive pricing strategy that slashed prices as much as 34% on 22 of its electric and plug-in hybrid models until the end of June.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool