Top 4 Stocks About to Reach Their 52-Week High

A 52-week high is a technical indicator used by some of the world's top traders and investors to determine the current and future value of a stock. In this report we reveal today's top 4 stocks about to reach their 52-week highs.

By clicking the link above you will automatically opt-in to receive emails from ActivaTrade

Is Niu Technologies Ready To Charge Ahead Again?

The Bamboo Works
April 11, 2024

Key Takeaways:

  • Niu Technologies said its unit sales at home and abroad rose more than 30% in the first quarter, following a tough 2023 when its revenue fell 16%
  • The electric scooter maker’s shares jumped 34% from an all-time low in the week following the announcement

By Edith Terry

Niu Technologies (NASDAQ:NIU) has had some rough years since the heady days of its Nasdaq listing in October 2018. In 2017, the company, whose name means “bull,” was China’s top seller of lithium-ion battery powered e-scooters, with 26% of the market by unit sales and 39.5% by value. It was third in Europe as well, with 11.1% of the market by unit sales. Its sales zoomed over the next few years, rising from 189,467 e-scooters in 2017 to over 1 million in 2021.

But the growth began to slow after that and slipped into reverse, even as expansion at its factory in the city of Changzhou boosted its annual capacity to 2 million scooters. In 2023, it was back to 710,000 in annual unit sales, down 15% from 2022, as the broader market for e-scooters fell, partly as a result of price increases for battery packs as lithium prices soared. Lithium prices began to retreat in the second half of 2023, but Niu was still forced to shutter 500 stores, reducing its network to 2,856 domestic outlets by the end of last year.

So, the company’s report last week of a sharp bounce-back in first quarter sales, both at home and overseas, sparked a 34% rally for its shares in the following days, providing a much-needed jumpstart to its sputtering story. Niu said its unit sales in China rose 35% year-on-year in the first quarter to 110,115 units, while overseas sales, mostly in Europe, powered ahead by 48% to 19,024 units.

Niu said that its premium NXT e-bike, released in February, was responsible for 26% of its domestic sales during the quarter. Within two weeks of the release, the model had 10,000 pre-sale orders, according to the company. The company credited its strong international gains to “our comprehensive product line-up” and progress in its retail channel expansion.

“We expect to regain growth momentum in 2024, propelled by new models and expanding sales channels,” the company said. “Our unwavering confidence in reclaiming growth underscores our commitment to industry leadership.” For the year, Niu anticipates sales of 1 million to 1.2 million units, CEO Li Yan said on the company’s earnings call in March after the release of its fourth quarter and full-year 2023 results.

On the same call, CFO Fion Zhou said the company expects to report revenue growth of about 10% in the first quarter, far less than the unit sales growth announced last week. That implies its average selling prices were down year-on-year amid stiff competition both in China and abroad, continuing a trend from last year.

Investors were more focused on the return to growth in the latest announcement and may also be pleased with what they see in Niu’s strategic plans. Together with the NXT, two other launches in February for the company’s NX e-scooter and X3 smart off-road electric motorcycle, mark a strategic shift toward premium products to offset weak consumer spending. CEO Li told financial publication Yicai that while his rivals would likely cut prices, Niu would stay on course to get out of the overheated lower end of the market by moving upmarket.

Big addressable market

Li said on the fourth-quarter earnings call that China’s addressable market for more upscale scooters priced above 3,500 yuan ($484) was 14 million to 16 million units last year, even though Niu only sold about 600,000 units in that category.

In addition to going upscale, Niu is planning to return to expansion mode with plans to open 1,000 to 2,000 stores domestically this year and experiment with direct distribution to retailers overseas, which it believes will help build brand loyalty. It is also working on branding and marketing programs, from livestreaming to a joint effort with JD Gaming, a leading e-sports team in China and a finalist in the League of Legends World 2023.

The return to growth looks good, but can Niu sustain a broader turnaround this year? Its last earnings report for last year’s fourth quarter and all 2023 has plenty of room for improvement. The company’s fourth-quarter revenue fell 21.8% year-on-year to 478.7 million yuan, while its gross margin fell from 22.5% to 19% over that period. Niu reported a net loss for the quarter of 130.2 million yuan in 2023, widening from a 37.1 million yuan loss in 2022.

Its full-year revenue of 2.6 billion yuan was down 16.3% from 2022, and its gross margin of 21.5% last year rose slightly from the 21.1% for 2022, with the small increase due to the launch of new premium products in China. Its annual net loss widened from 49.5 million yuan in 2022 to 271.8 million yuan in 2023.

While the latest data shows Niu’s revenue per scooter continued to fall in the first quarter, one promising sign is that the rate of the declines seems to be levelling off from even sharper declines in 2023. In last year’s fourth quarter, its average revenue of 3,482 per scooter was down 21% from a year earlier.

All in all, Niu seems to be starting to deliver on its promise to go more upmarket, and is navigating a difficult market as best it can. Its market cap of $176 million and price to sales (P/S) ratio of 0.36 puts it on a par with Ninebot (689009.SS), owner of the iconic Segway scooter brand, which has a market cap of $272.3 million and a 0.36 P/S ratio. Both of those are behind Piaggio & C. SpA(PIA.MI), maker of more established and equally iconic Vespa brand scooters, though its 0.52 P/S ratio is nothing to get too excited about. Unlike Niu, both Ninebot and Piaggio are in the black.

Four analysts surveyed by Yahoo Finance were split between “buy” and “hold” recommendations for Niu in recent months. But in a positive sign, they shifted to “buy” and “strong buy” this month as the company returns to growth. Two analysts who submitted financial forecasts also expect the company to return to a profit this year.

This article is from an unpaid external contributor. It does not represent Benzinga's reporting and has not been edited for content or accuracy.

Continue Reading...

Popular

Tesla Stock Is Rallying Tuesday: What's Going On?

Tesla has increased its 72 month loan rate (APR) in the U.S. from 0.99% to 1.99%, according to Benzinga Pro. The loan rates for 36, 48 and 60 month loan terms are still set at 0.99%.

Taylor Swift bill is signed into Minnesota law, boosting protections for online ticket buyers

MINNEAPOLIS (AP) — People buying tickets online for concerts, sporting events and other live events in Minnesota will be guaranteed more transparency and protection under a so-called Taylor Swift bill signed into law Tuesday by Gov. Tim Walz.

Obama's 2024 Surprise: His Secret Plan to Finish What He Started - Ad

The ONLY way Democrats can keep the White House is to bring back Barack Obama. And there's a sneaky (yet 100% legal) way to achieve this. In fact, this disaster scenario is already underway. See what they're up to, and how you can get ready today.

Top 4 Health Care Stocks Which Could Rescue Your Portfolio This Month

The most oversold stocks in the health care sector presents an opportunity to buy into undervalued companies.

'Dogecoin Killer' Shiba Inu Burn Rate Spikes 800%, Crypto Market Rallies As Sentiment Soars And More: This Week In Cryptocurrency

The week was a rollercoaster ride for the cryptocurrency market. The crypto world was buzzing with news, from Shiba Inu’s surging burn rate to speculation of certain altcoins becoming irrelevant.

I Have a Mystery Offer for You! - Ad

Today, I'm offering you the chance to receive a PLATINUM BTM subscription for up to 90% OFF! There's just one catch... This deal is only open until midnight on Monday. That's it. No exceptions. When the clock strikes midnight on May 27th, this deal will be gone.

Elon Musk Shares Who He'd Want To Spend His Last Moments With In Response To Warren Buffett's Advice

Over the weekend, Elon Musk agreed with a sentiment shared by investment titan Warren Buffett about the importance of spending time with loved ones, despite their contrasting investment philosophies. 

These 5 Picks Put You on the Path Towards $500K - Ad

Give me just 10 minutes and I'll show you all the jaw-dropping details I've uncovered behind the next generation of investing... and why NOW is the best time to make your move... No games, no gimmicks...just a very real chance to rake in up to $500k in the next 12 months from these 5 'off the radar' opportunities.

Microsoft Introduces Isolated AI For US Intelligence To Analyze Secret Data: Report

Microsoft pioneers a groundbreaking move by introducing an isolated generative AI model exclusively accessible to U.S. intelligence agencies. This offline GPT4-based system, functioning in an "air-gapped" environment, promises heightened security for analyzing classified data, meeting the escalating demand for advanced intelligence tools worldwide.

California moves closer to requiring new pollutant-warning labels for gas stoves

SACRAMENTO, Calif. (AP) — California could require all new gas stoves sold in the state to carry a label warning users about pollutants they can release that have been linked to respiratory illnesses.

What Is Nvidia's New $1 Trillion Superproject? - Ad

While most are still focused on Nvidia's recent performance, they're missing this massive, $1 trillion pivot Nvidia's making right now. But it's what's happening behind the scenes that should be most exciting for investors. We've identified three companies that Nvidia needs to lean on to help get the job done.

Safe Harbor Financial's 245% YoY Q1 Net Income Boost, Anticipates Capital Increase With Possible Rescheduling

Safe Harbor Financial Services, Inc. (NASDAQ: SHFS) reported a 245% year-over-year increase in net income to approximately $2.0 million for the first quarter of 2024.

What's the Big Thing Musk, Bezos and Tim Cook All Have in Common? - Ad

One of America's most controversial CEOs says, "A new form of money in America is making some people (including Elon Musk, Jeff Bezos, and 17 of America's 25 wealthiest individuals), rich. It has nothing to do with gold, bitcoin, or anything like that, but it's 100% legal. The problem? Few Americans have a real understanding of how it works.

Stocks Falter As Fed Signals Need For Higher-For-Longer Rates; Uber Crashes, Energy Sector Loses Ground: What's Driving Wednesday's Market?

Wednesday witnessed a tempering of the bullish sentiment that had buoyed Wall Street in recent sessions, with major indices showing slight declines around midday trading in New York.

Red, yellow, green ... and white? Smarter vehicles could mean big changes for the traffic light

As cars and trucks get smarter and more connected, the humble lights that have controlled the flow of traffic for more than a century could also be on the cusp of a major transformation.

22 Countries Pledge To 3X Nuclear Power - Uranium Prices Soar 74% - Ad

Newswire says "Bull market continues in Uranium stocks." Who to pick? Well, exploration records show...

Top public relations executive at Chinese technology firm Baidu apologizes after sparking backlash

HONG KONG (AP) — A top public relations executive from Chinese technology firm Baidu apologized Thursday after she made comments in a series of videos that critics said glorified a culture of overwork.

PENN Entertainment Shares Jump After ESPN Bet Named Official Sports Betting Sponsor Of PGA Championship

PENN Entertainment witnesses a notable uptick in its stock performance following the announcement of a groundbreaking multiyear sports betting partnership between ESPN Bet and the PGA of America.

4 Cryptos Set to Outperform Bitcoin in 2024 - Ad

Chris Rowe, the man who spotted 44 different coins that have returned over 100%, is now making the biggest crypto call of his ENTIRE career.... Because a powerful crypto event will trigger on June 24th... Sending hundreds of tiny cryptos soaring 5X, 50X, even 100X -- in just days.

Japanese game maker Sega Sammy sells resort to US fund

TOKYO (AP) — Sega Sammy is selling its resort complex Seagaia to Fortress Investment Group of the U.S., the Japanese entertainment company said Friday.

Forget AI, Imperium Is Expected to Grow 320,000% In 3 Years - Ad

Three of the world's biggest AI companies -- Google, Nvidia and Intel -- have even partnered with my No. 1 Imperium company to get on this massive mega trend. The average investor hasn't caught on yet, but you can still invest in my No. 1 Imperium company for just $10 a share.

Congress is sending families less help for day care costs. So states are stepping in

ALBUQUERQUE, N.M. (AP) — Across the country, the story for families is virtually the same: Child care is unaffordable for many, hard to find for those who can pay, and financially precarious for day care operators and their employees.

Mohamed El-Erian Says Bond And Equity Prices Getting A Boost After Softer-Than-Expected Headline CPI Numbers And Fueling 'Hopes For An Earlier Interest Rate Cut'

Mohamed El-Erian, the Chief Economic Advisor at Allianz, suggested that the latest inflation data could prompt the U.S. Federal Reserve to consider an earlier interest rate cut, potentially boosting bond and equity prices.

Uranium Prices Soar 74% in 6 Months! The Uranium Bull Market Is Here to Stay! - Ad

In December 2023, 22 countries pledged to 3X their nuclear capacity. Sending these uranium stocks into a frenzy. Here's 1 uranium miner that exploration records show is sitting on 2.4 million pounds of uranium.

Trump Vs. Biden: New Swing State Poll Reveals Winner, One Key 2024 Election Issue Could Influence Result (Updated)

A new 2024 election poll of swing state voters shows Donald Trump with a commanding lead. One key factor could be determining the race in these markets.

Angel Reese, Cardoso debuts watched widely on fan's livestream after WNBA is unable to broadcast

The WNBA debuts of Angel Reese and Kamilla Cardoso were widely watched on a social media who stepped in when the league's app couldn't broadcast the game.

Why's Wall Street Pouring Money Into This Tiny Biotech? - Ad

This biotech currently has four drugs in mid to late-stage clinical trials. And any one that gets approved could send their share price skyrocketing. Institutional investors are taking notice...They more than doubled their stock purchases of the company in the final quarter of 2023...Do they know something you don't?

One way to appreciate teachers: These schools provide their day care

NAMPA, Idaho (AP) — When Christina Zimmerman returned to teaching last year after maternity leave, she grappled with postpartum depression that she says could have led to quitting her job.

Earn Instant Cash Flow (using THIS tactic) - Ad

Can you imagine earning $1,118,721/hr? That's what greedy Wall Street elites have been pocketing for 22 straight years. And now it's available to you.

Airbnb shares slide on lower revenue forecast despite a doubling of net income

SAN FRANCISCO (AP) — Airbnb's profit more than doubled last quarter, but management's disappointing revenue forecast sparked a roughly 7% drop in its stock in after-market trading Wednesday.

Schwazze's Q1 2024 Financial Results: Takes A Hit In Colorado, Overall Cannabis Sales Up By 9%

Medicine Man Technologies, Inc., operating as Schwazze (OTC: SHWZ), announced its financial results for the first quarter ended March 31, 2024.

Warren Buffett's "Mystery Stock" - Ad

Billionaires are plowing millions of dollars into a new technology that early estimates say could generate more wealth than A.I. -- and determine the future of companies like Microsoft. The problem? Most investors have no idea it's happening, or how to profit on it. This expert just went public with all the details, including which stocks to jump on immediately.

Pro-Palestinian protesters demand endowment transparency. But it's proving not to be simple

MINNEAPOLIS (AP) — On college campuses across the country, a rallying cry of has been “ ! We will not stop, we will not rest.”

Stock traders go on trial in multibillion dollar collapse of Archegos fund

NEW YORK (AP) — The owner and chief financial officer of a hedge fund that collapsed when it defaulted on margin calls, costing leading global investment banks and brokerages billions of dollars, were going on trial on fraud charges on Monday.

PASSIVE INCOME (by this evening) - Ad

Hey, I have an unique opportunity for those looking for additional ways to earn income right now. It can be done from home. You can do it in your spare time. And it only takes 6 clicks and as little as $50.

Uber Launches Shuttle Service, Deepens Costco Ties

Uber unveils cost-effective travel options with Uber Shuttle, catering to budget-conscious travelers. Partnering with local fleet operators, the service offers advance booking for up to five seats in high-traffic areas like airports and events. Simultaneously, its expanded partnership with Costco provides exclusive discounts to members, reinforcing Uber's commitment to affordability and customer loyalty in the competitive market.

Trending Now

Information, charts or examples are for illustration and educational purposes only and not for individualized investment management This message contains commercial elements, such as advertising. We only send these offers to those who have opted in to our newsletter. Past performance is not indicative of future results. For these reasons we strongly suggest trading in a DEMO/Simulated account. The information provided by us is for educational and informational purposes only. We make no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended and have not determined if the statements and opinions of the advertiser are accurate, correct or truthful. If you use, act upon or make decisions in reliance on information contained or any external source linked within it, you do so at your own peril and agree to hold us, our officers, directors, shareholders, affiliates and agents without fault.

Copyright trendadvisor.net
Privacy Policy | Terms of Service