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Why It's Looking Ugly for This Electric-Vehicle Stock

By Jose Najarro - May 27, 2021 at 9:30AM

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Is it game over for this EV company? Or is there light at the end of the tunnel?

In today's video, I look at Lordstown Motors (RIDE -9.80%) and share some bullish and bearish thoughts on the company's results for the first quarter of 2021. 

The bad for Lordstown Motors

  1. Even though the production of the Endurance pickup truck is still on track to begin on schedule, the company has recently announced that production will be at best 50% of prior expectations. 
  2. Operating expenses are expected to be much higher than previously guided. As a result, the company is pursuing additional capital to fund the business plans.
  3. Lordstown Motors now expects to have a weaker cash and cash equivalent position than previously guided for the end of the year.

Click the video below for my full thoughts. 

*Stock prices used were the midday prices of May 25, 2021. The video was published on May 25, 2021. 

Jose Najarro has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Jose is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

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Lordstown Motors Corp. Stock Quote
Lordstown Motors Corp.
$2.21 (-9.80%) $0.24

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