Electric vehicle checkpoint: Tesla, NIO, Ford cite procurement costs as challenge


The electric vehicle giant Tesla (TSLA) – Get a report raised the price of its vehicles in April, which obviously did not please its customers.

Twitter (TWTR) – Get a report A user by the name of Ryan recently complained about the price hike, and surprisingly Tesla CEO Elon Musk responded, blaming him for the increase in commodity prices.

“Prices are rising due to the strong pricing pressure in the supply chain across the industry. Raw materials in particular,” Musk tweeted.

At the same time, the Chinese electric vehicle company NIO (NIO) – Get a report came out with reported sales in May that fell 5% month over month, and cited the shortage of automatic semiconductor chips as the main reason.

And on Ford (F) – Get a report In the latest earnings call, the company cited a commodity headwind of around $ 2.5 billion, compared to the $ 1.5-2 billion it previously forecast for the year. “The rise in the price of steel has a lot to do with it,” said Jeff Marks, senior portfolio analyst for ActionAlertsPLUS.

“Ford’s new management team really changed the narrative around the company. It was a dinosaur in space, but instead they have now launched some very exciting EV products such as the Ford F- 150 Lightning, which had over 70,000 pre-orders last week and the E-Transit Van launch later this year, ”Marks added.

Ford is a key stake in Jim Cramer’s Action Alerts PLUS charitable trust. Want to be alerted before Jim Cramer buys or sells stocks? Learn more about Cramer and his team of members now.

Meanwhile, Ford is proving its profitability and the company has said it sees electric vehicles and connected services as a $ 20 billion opportunity by 2030 as we move into the future.

“I really like what Ford does and I think it’s still very cheap when you look at it on a profit basis, especially compared to a Tesla, so we believed in Ford a lot and that’s the position the most important that we own to ActionsAlertsPLUS, ”said Marks.

The electric vehicle startup Rivian has reportedly chosen underwriters for a first public offering that could take place this year. Rivian works with advisors including Goldman Sachs (GS) – Get a report, JPMorgan Chase (JPM,) – Get a report and Morgan Stanley (MRS) – Get a report, Bloomberg reported.

Rivian could ask for a valuation of around $ 70 billion when it goes public, people familiar with the matter told Bloomberg. While no final decision has been made and details of its potential listing may change, Rivian was valued at $ 27.6 billion in January when the company said it had secured additional funding of $ 2.65 billion. dollars from investors, including asset manager T. Rowe Price Associates. (TROW) – Get a report.

In February, Amazon (AMZN) – Get a report began testing a fleet of Rivian electric vans in Los Angeles. The move came a year after the tech and online retail giant purchased 100,000 of the custom delivery vehicles.

Here is a list of electric vehicle stocks to watch out for:

You’re here

You’re here (TSLA) – Get a report will recall nearly 6,000 American vehicles because the brake caliper bolts could be loosened, which could result in loss of tire pressure. According to a file with the National Highway Traffic Safety Administration released on Wednesday, Tesla is recalling certain 2019-2021 Model 3 and 2020-2021 Model Y vehicles.

Tesla’s record with the NHTSA says there have been no reports of accidents or injuries related to the issue and the company will inspect and tighten or replace the caliper bolts if necessary.

The recall is not the first for Tesla this year. The electric vehicle maker recalled 135,000 Model S luxury sedans and Model X sport utility vehicles in February due to touchscreen failures. Additionally, German auto authorities in February asked Tesla to recall around 12,300 Model X cars because of what they described as “limited functionality” of the adhesive on a “trim strip.”

TheStreet Quant Ratings classifies Tesla as Hold’em with a rating of C.


Ford (F) – Get a report has shifted into high gear after the automaker, which was looking to take on Tesla to electrify its fleet as soon as possible, was upgraded last week by analyst Joseph Spak to outperform the industry.

The RBC analyst said the stock was “still not too expensive.”

Earlier this month, Ford unveiled the F-150 Lightning, an all-electric pickup, starting at less than $ 40,000. It is at the forefront of the company’s $ 22 billion global electric vehicle plan.

TheStreet Quant Ratings classifies Ford as Hold’em with a rating of C.

General Motors

General Motors (DG) – Get a report Shares extended their gains last week after the automaker said it would restart production at some of its North American factories that were idle due to the global semiconductor shortage.

GM will resume operations at two factories in Mexico, one in the United States and one in Canada this week following a decision to shut them down amid the worst of the global chip shortage, which the automaker says will reduce all of its operating profit for 2021. as $ 2 million. A fifth installation in South Korea will be back online later this month.

TheStreet Quant Ratings classifies GM as a purchase with a B rating.


Manufacturer of electric trucks Nikola (NKLA) – Get a report posted better than expected results in the first quarter. The company said that during the first quarter it put the first batch of five Nikola Tre battery-electric vehicles into service.

Last month, Nikola unveiled plans with Iveco and OGE to transport hydrogen from production sources to service stations that support fuel cell electric vehicles. And last week, the company said Total Transportation Services, one of Southern California’s largest port trucking companies, signed a letter of intent to order 100 battery-powered electric semi-trailers. Class 8 fuel.

TheStreet Quant Ratings does not have a rating for Nikola.


NIO (NIO) – Get a report jumped after the Chinese electric vehicle maker reported a year-over-year increase in shipments of more than 95% for the month of May.

NIO delivered 6,711 vehicles during the month and delivered 109,514 vehicles since the start of the year. Citi analyst Jeff Chung improved the stock to buy from the neutral position and raised his price target to $ 58.30 from $ 57.60.

TheStreet Quant Ratings rates NIO as a sale with a rating of E +.

Lordstown Engines

Lordstown Engines (DRIVE) – Get a report did not perform well last week. Despite a strong rebound from the lows, the stock fell 11%.

The drop came after the company released its quarterly results, which heightens the risk for some of these new companies. The electric vehicle company lost 72 cents a share, more than double what analysts expected. And there was no turnover during the quarter. The stock is down more than 80% from its February high.

Lordstown said production of its Endurance truck in 2021 will be half of previous expectations due to reduced production.

TheStreet Quant Ratings has no rating for Lordstown Motors.


Fisker (RSF) – Get a report plans to develop the first all-electric vehicle for Pope Francis, as part of the automaker’s vision to team up with leaders he sees as environmentally conscious.

In a private audience with Pope Francis, Fisker Founder and CEO Henrik Fisker and Geeta Gupta-Fisker presented their vision for designing a fully electric papal transport.

The company plans to deliver this singular version of the Fisker Ocean to the Pope next year. The Fisker Ocean is scheduled to begin production on November 17, 2022. There are currently over 16,000 reservation holders for the Ocean.

TheStreet Quant Ratings does not have a rating for Fisker.


With NIO and Li Auto LI, Xpeng (XPEV) – Get a report is one of Tesla’s main challengers in China, the world’s largest electric vehicle market.

Xpeng shares rose last week after the Chinese electric vehicle maker reported better than expected first quarter results, including a seven-fold increase in revenue. Xpeng shares recently traded at $ 26.10, up 5.4%. They have fallen 47% in the past three months amid investor concerns about the stock’s valuation.

Xpeng launched the Xpeng P5 smart sedan earlier this month, which the Chinese electric vehicle maker says is the world’s first mass-produced smart EV equipped with automotive-grade LiDAR technology. LiDAR, or Light Sensing and Telemetry, is a system that provides visibility to autonomous vehicles.

TheStreet Quant Ratings does not have a rating for Xpeng.

Connect the power

Connect the power (PLUG) – Get a report jumped last week after the fuel cell maker said it had completed restating its financial statements for the past three years. The company said the restatements had no effect on its cash position, business operations or the economics of its trade agreements.

“For those who love hydrogen, the stock to love is Plug Power,” TheStreet founder Jim Cramer said in an interview. “The company got small group orders, which I like. But at the same time, hydrogen is $ 60; it has to be competitive with oil.”

TheStreet Quant Ratings classifies Plug Power as a sale with a rating of D.


QuantumScape Corp. shares (QS) – Get a report fell last week after the electric vehicle battery maker released first-quarter results that were not in line with estimates.

The San Jose, Calif., Company reported a net loss of 20 cents per share, compared to a loss of 6 cents in the previous year quarter. Analysts polled by FactSet had expected a loss of 7 cents per share for the latest period.

TheStreet Quant Ratings does not have a rating for QuantumScape.


Canou (GOEV) – Get a report announced earlier this month that it is appointing Tony Aquila, its executive chairman and one of its biggest investors, as chief executive.

“It’s dead money. I’m sorry,” Cramer said of Canoo last week during the “Mad Money Lightning Round”.

TheStreet Quant Ratings does not have a rating for Canoo.

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