What happened
Shares of electric vehicle (EV) start-up Fisker (FSRN -12.70%) jumped as much as 5% Monday morning as investors digested new updates from the company. As of 1:20 p.m. ET today, the shares were holding on to that gain.
So what
Fisker started delivering vehicles in several European countries as well as the U.S. in the second quarter. Late last week, the EV company said its cumulative production has now been more than 3,100 units. It also noted that its manufacturing contractor Magna International expects to ramp up the production rate from 180 vehicles per day to about 300 in the fourth quarter.
The company is currently producing several versions of its Ocean SUV and hopes to be at that accelerated production rate in October. Fisker also said in anticipation of that, it will be expanding deliveries even more in the United States beginning this month.
One unique feature the Ocean has is its solar roof panel. The company says its SolarSky roof can add up to 1,500 miles per year from solar energy and, under ideal conditions, could achieve 2,000 additional miles.
Now what
Fisker also announced last week that its three new upcoming vehicle models were just introduced in Europe at a conference in Munich. By 2026, Fisker plans to add the Ronin four-door convertible sports car; the PEAR city EV; and the Alaska all-electric pickup truck to its lineup.
It's too soon to know how consumers will react to the early-stage EV company's products. But with its less capital-intensive business model using a contract manufacturer, a receptive market could mean that Fisker's recent $2.25 billion market cap could grow extensively. The company and its manufacturing partner have to execute, and it's still too speculative to know how that will turn out.
