NIO Inc. (09866.HK), the Chinese electric vehicle manufacturer, saw its stock plummet by 5.01% in Monday's trading session, marking its fourth consecutive day of decline. The sharp drop comes in the wake of disappointing fourth-quarter results and reduced price targets from analysts.

The company reported a widening net loss for the fourth quarter of 2024, reaching 7.11 billion yuan ($979.43 million), up from 5.37 billion yuan in the same period last year. This performance fell short of market expectations, despite a 13.2% year-over-year increase in vehicle sales. In response to the financial results, Mizuho Securities lowered its price target for NIO from $5.00 to $4.20, while maintaining a Neutral rating on the stock.

Adding to investor concerns, NIO's guidance for the first quarter of 2025 was significantly below consensus estimates. The company projected vehicle deliveries between 41,000 and 43,000 units and revenue between 12.4 and 12.9 billion RMB, representing a substantial quarter-over-quarter decline. Analysts attribute this weak outlook to seasonal factors and lower-than-expected deliveries of the new Onvo model. Despite these short-term challenges, NIO maintains an ambitious target of doubling its year-over-year deliveries by 2025, banking on the launch of new models and refreshes of existing lines. However, the market remains skeptical about these goals in the face of intense competition in the EV sector and the company's current financial struggles.