What's Going On With EV-Maker Mullen Automotive's Stock?

Mullen Automotive, Inc. MULN shares continue to slide Tuesday despite corporate updates from CEO David Michery. 

The Details:

Michery is featured in a video released Tuesday morning in which he states the company was compelled to do another reverse split to work towards regaining compliance with Nasdaq’s minimum bid price rule, and the current stock price does not represent the value of Mullen.

Read Next: Snowflake Stock Dips On Offering After-Hours: What To Know

"Our group of companies, including Bollinger Motors and Mullen Advanced Energy Operations, continue to work towards meeting milestones and growing sales and I remain optimistic that the Company’s success will continue despite the challenges associated with our stock price,” said Michery. 

Mullen effected a 1-for-100 reverse stock split on Sept. 17, and Mullen's stock is down nearly 50% since then. According to data from Benzinga Pro, Mullen shares are moving lower on heavy trading volume Tuesday with nearly 900,000 shares already traded in the session. 

How To Buy MULN Stock:

By now you're likely curious about how to participate in the market for Mullen Automotive – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy ‘fractional shares,' which allows you to own portions of stock without buying an entire share. For example, some stock, like Berkshire Hathaway, or Amazon.com, can cost thousands of dollars to own just one share. However, if you only want to invest a fraction of that, brokerages will allow you to do so.

In the the case of Mullen Automotive, which is trading at $5.99 as of publishing time, $100 would buy you 16.69 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to ‘go short' a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

MULN Price Action: According to Benzinga Pro, Mullen Automotive shares are down 110.2% at $5.26 at the time of publication Tuesday.

Read Also:

• What Happened With Palantir Stock Today?

Image: Courtesy of Mullen Automotive, Inc.