Nio Inc. (NIO) Accused of Inflating Company’s Outlook Amid Decreasing Demand and Disappointing Sales

According to the complaint against the company for alleged violations of the Securities and Exchange Act of 1934 between January 10, 2019 and March 5, 2019, Nio Inc. (NIO) represented that it had exceeded its 2018 delivery goal of its premium electric vehicles. On March 5, 2019, defendants disclosed the truth - that sales were declining and material negative trends would negatively impact Nio's sales and revenues through at least the second quarter 2019.  Nio had delivered just 1,805 ES8 vehicles in January 2019, a 45% decline from December 2018, and just 811 ES8 vehicles in February 2019, a 55% decline from January 2019.  Over two days of trading, Nio's ADSs declined over 30% to close at just $7.09 on March 7, 2019, and continues to decline.