EV stocks had a mixed outing in the week ending Dec. 10, as buying set in motion by bargain hunting after the previous week's declines was tempered by some stock-specific negative news.
Here are the key events that happened in the EV space during the week:
Tesla: China Sales Soften, Potential NYC Deal, Musk Offloads More Shares: Tesla, Inc. TSLA found itself amid a slew of news this week. CEO Elon Musk sold more Tesla shares, as filings with the SEC late Thursday revealed that Musk sold 934,091 shares of the company, valued at $963.2 million. He also exercised options to purchase 2.17 million shares of the company.
In another development, Musk, who copiously uses the Twitter platform to air his views, said he is thinking of quitting his jobs to become a full-time influencer. Apparently, it was all in jest, going by the ROFL emoji he tweeted in reaction to a Reuters story on his comment being shared by another Twitter user.
An Electrek report suggested that the company has stopped taking orders for Model S and X vehicles outside North America, and deliveries in these markets are set to begin in the second-half of 2022.
On a positive note, Tesla is on the cusp of landing a $12.36 million contract to supply Model 3 vehicles to New York City.
Shares of the company received a Street-high price target of $1,580 from New Street Research analyst Pierre Ferragu.
During the week, the China Passenger Car Association reported Tesla's China sales for November. The company sold 52,859 Giga Shanghai-made Model 3 and Model Y vehicles, down from 54,391 units sold in October. Exports from China also dipped from 40,666 units to 21,127 units.
Related Link: Why Rivian Analysts Are Largely Bullish: 'EV Maker Could Be The One That Can Challenge Tesla'
Lucid Faces SEC Probe, Sells Debt: Lucid Group, Inc. LCID disclosed this week an ongoing SEC investigation into its SPAC merger with Churchill Capital Corp. IV earlier this year.
The EV maker also announced a $1.75 billion debt offering that pressured its stock.
More Setback For Apple Car Venture: Apple, Inc. AAPL has lost a few more personnel from its self-driving car unit, Bloomberg reported this week.
Among those who jumped ship are radar system engineer Eric Rogers, battery team engineer Alex Clarabut and hardware engineering manager Stephen Spiteri. The project has been a non-starter for a long time, although recent reports suggest Cupertino could launch the Apple Car sometime between 2023 and 2025.
GM Rumored to Commit EV Investment In Michigan: General Motors Corporation GM is reportedly planning to plow in $3 billion to manufacture EVs and battery-cells in Detroit and Lansing.
The company also announced this week two initiatives to bolster its EV supply chain. GM and Germany's VAC announced plans to build a new U.S. plant to manufacture permanent magnets for electric motors used in the GMC Hummer EV, Cadillac LYRIQ, Chevrolet Silverado EV and more than a dozen other models using GM's Ultium Platform.
The company also announced a long-term agreement with MP Materials for the supply of rare earth materials, alloys and finished magnets for electric motors.
Nio Day On Track: Quelling speculation over a potential delay in the Nio Day event amid the COVID-19 variant threat, Nio, Inc. NIO confirmed the event will take place as scheduled.
Nio Day, touted as a big catalyst for the stock, is scheduled to be held in Suzhou on Dec. 18.
Additionally, the company announced Friday it has installed its 700th battery swap station in China, hitting its annual target ahead of schedule.
Sell-side Rallies Behind Rivian as IPO Quiet Period Expires: With the IPO quiet period expiring, sell-side analysts initiated coverage of the stock. Most analysts are bullish on the EV maker despite the spike in its post-IPO valuation.
Morgan Stanley analyst Adam Jonas suggested that Rivian could be the "one" that can ultimately challenge Tesla.
Ford's EV Pickup Truck Reservations Swells: Ford Motor Company F has reportedly stopped taking orders for its F-150 Lightning pickup truck. The company has collected 200,000 refundable $100 deposits since May, when the truck was unveiled. The company is preparing to open its order book for the truck next month.
Volkswagen Entrusts China EV Push to New Executive: Underlining German automaker Volkswagen AG's VWAGY push into EVs, the company's supervisory board delegated the power of managing China operations to Ralf Brandstätter, who will also join the company's board.
The move comes at a time the company is making a big push to make a mark in the highly-competitive Chinese market.
EV Stock Performances for The Week:
Related Link: Tesla Vs. Rivian Vs. Lucid Vs. Fisker Vs. Lordstown Vs. Canoo: How BofA Says The EV Makers Stack Up
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
