What happened
Shares of Lordstown Motors (RIDE -0.58%) are up 11% as of 1 p.m. EST on Friday. The company released a video this week of its Endurance all-electric pickup truck driving through some harsh road conditions, and analyst support followed.
So what
Lordstown CEO Steve Burns drove a panel-less frame of the Endurance through some extreme environments to show the design of its four in-wheel hub motors being put to a grueling test and proving its durability.
Lordstown Endurance pickup truck. Image source: Lordstown Motors.
The video released on Twitter (TWTR) shows the Endurance plowing through mud holes, snowy roads, and deep water, highlighting the skateboard chassis and individual wheel motors.
Now what
One analyst that may have been impressed by the performance was Mark Delaney of Goldman Sachs (GS -0.23%). He initiated coverage on Lordstown today with a buy rating and a price target of $31. That implies a 70% upside from Thursday's closing price of $18.17 per share.
Delaney noted the truck's unique design and pointed out the company's advantage for remaining ahead of other electric-truck automakers if it maintains its estimated production schedule. Lordstown plans to begin production of the Endurance in September 2021.
The company has non-binding production reservations for about 50,000 trucks, representing interest from approximately 100 different commercial truck fleets. Lordstown plans to build its Endurance electric pickup truck at a former General Motors (GM -0.04%) manufacturing plant in Lordstown, Ohio. The company is billing the Endurance as a "light duty fleet work truck" that will be priced at $52,500 per vehicle.
