Written by Brenda Nakalema

Big Investor buys more stake in AMC, Apple, NIO and Nikola

A large European asset manager upped its stake in the volatile stocks within its U.S traded investment portfolio. DNB Asset …

A large European asset manager upped its stake in the volatile stocks within its U.S traded investment portfolio. DNB Asset management doubled down by tripling its investment in movie-theatre chain AMC Entertainment Holding (ticker: AMC) and also increased its investments in Apple (ticker: AAPL), Chinese- electric- vehicle maker NIO (ticker: NIO), and electric truck maker Nikola (ticker: NKLA). The fourth quarter trades were disclosed, among others, in a form filed with the Securities and Exchange Commission.

The company bought 123,545 more shares in AMC in the fourth quarter, which raised its total holding to 172,064 shares by the end of December. AMC stock gained 13 times in price in the year 2021, compared to the S&P 500 index that rose 27%. However, shares have so far dropped 24.4% compared with a 2.2% drop in the index.

AMC stock received its version of a booster shot following investors postings on social media and message boards; the Spider-Man film also increased the general excitement around the stock. However, shares took a dive from the beginning of 2022, partly owing to large stock sales by CEO Adam Aron.

Apple sold 780,459 more shares to DNB Asset Management to raise holdings to 4.6 million as of Dec. 31. Apple stock rallied in 2021 by 34% but has slipped by 2.5% so far.

According to market-research firm IDC, Apple’s market capitalization briefly stood at $ 3 trillion earlier this month, owing to a surge in the shipment of Mac computers. AirPods were also strong winners over the holiday season. NIO American depository shares fell 35% in 2021, while so far, in 2022, they are down 2.3%.

For NIO and other Chinese companies with U.S listings, the catchphrase has been “pressure, pressure, pressure,” as much of 2021 was spent amidst tight scrutiny by the Chinese regulatory authorities. With the ongoing sparring between China and the U.S, Chinese companies with U.S listings continue to face the possibility of delisting in the U.S.

It’s not all bad news for NIO, though, because there seems to be widespread optimism regarding electric vehicles. Analysts have been giving positive predictions about what the future might look like for companies in this industry. One analyst asserts that NIO’s American depositary receipts can double in price, while another predicts NIO’s sales rising up to 50%.

DNB Asset Management purchased 144,250 more NIO ADRs and ended the fourth quarter with 833,746 ADRs.

The asset manager added 60,837 Nikola shares ending 2021 with 249,443 shares. Nikola stock slid 35% in 2021 and has gained 2.1% so far.

This comes shortly after Nikola agreed to settle civil fraud charges with the SEC by paying a whopping $125 million, without admitting or denying the agency’s findings. This occurrence didn’t dim the company’s shine as it later posted a picture of its first customer delivery, promising to have more on the way. In January, Nikola announced its agreement to deliver an initial 10 electric trucks to USA Truck (ticker: USAK), in a deal that gives the trucking company the option to buy an additional 90 vehicles. Nikola shares gained on the back of this good news.