Benzinga - by Shanthi Rexaline, Benzinga Editor.
Electric vehicle stocks had a mixed outing in the week that ended on Dec. 1, as stock-specific actions drove sentiment in some cases while the listless performance of the broader market also weighed down on the industry. Tesla, Inc. (NASDAQ:TSLA) managed to post a weekly gain but settled off the highs, as the pre-Cybertruck launch frenzy soured amid mixed reviews for the electric pickup truck.
Here are the key events that happened in the EV space during the week:
Tesla’s Cybertruck Launch, Swedish Strike Update And More: After four years of its unveiling, Tesla’s Cybertruck finally saw the light of the day. The company held a grand delivery event Thursday afternoon at its Giga Austin facility and handed over the first few vehicles to customers. Delving into the details Tesla made available on its website, most analysts said the EV pickup truck was pricier.
Deepwater Asset Management’s Gene Munster, who is bullish on Tesla, said the final pricing of the three trim levels was at least 20-25% above his expectations. He also said the Cybertruck will likely be a “side story” until the company fully ramps up production to an annual production rate of 25,000 units in 2026.
Tesla continues to fight union troubles in Sweden as the Elon Musk-led company sued the Swedish Transport Agency after employees affiliated with Sweden’s public service union, Fackförbundent ST, stopped delivering mail, including license plates, to Tesla, local news outlet Dagens Industri reported.
Fisker Scales Back Production Plan For 4th Time: Startup Fisker, Inc. (NYSE:FSR) has, yet again, lowered its production guidance for the year. In a business update provided on Friday, the company lowered its 2023 production guidance to 10,000 units, citing its strategic decision to reduce December production to prioritize liquidity. This is a significant cut from the original guidance issued in May, which called for production of 32,000 to 36,000 units.
Fisker’s Chairman and CEO Henrik Fisker, however, sounded upbeat. “We may not have hit our original forecast but taking current market conditions and negative sentiments around EV sales into account, I would say we are doing quite well, as we continue to accelerate sales and deliveries,” he said in a statement. Fisker is among the startups that are struggling to ramp up production amid an inclement economic environment and a slowdown in EV adoption.
See also: Best Electric Vehicle Stocks
Ford Dealers Drop Out EV Program: Ford Motor Co. (NYSE:F) dealers that chose to join the EV program the company had announced last year are now quitting it, Electrek reported. About 400 dealers have dropped out due to the stringent investment criteria and other conditions associated with membership.
Ford’s intention behind the program was to improve the speed and efficiency of EV deliveries in order to better compete with Tesla and other startup EV manufacturers. The Electrek report said Ford announced it would ease some of the requirements in January.
Nio’s Woos Customers With Incentives: As Chinese EV manufacturers struggle amid intensifying competition, Nio, Inc. (NYSE:NIO) announced freebies and incentives this week to stimulate sales, CnEVPost reported while citing a post on the company’s mobile app. Customers paying a deposit for a new EV through December will reportedly get 30 free battery swap services and a 5,000 RMB ($700 USD) option fund. The company will also provide free usage of NOP+ worth 4,560 RMB and 10,000 Nio credits worth 1,000 RMB.
The Shanghai-based EV startup reported Friday that its November deliveries were at 15,959, down 0.72% from October but up 12.56% from a year ago.
Check out more of Benzinga’s Future Of Mobility coverage by following this link.
Rivian Launches Leasing For R1T: Rivian Automotive, Inc. (NASDAQ:RIVN) began a limited program to offer customers in 14 states a leasing option to buy its R1T pickup truck. The leasing program can be accessed through the R1T configurator page on the company’s website. The company reportedly intends to expand the program to its other models and regions over time.
The KraneShares Electric Vehicles and Future Mobility Index ETF (NYSE:KARS) ended Friday’s session up 0.70% at $24.63, according to Benzinga Pro data. For the week, the ETF lost 1.16%.
Read Next: Tesla Bear Admits Musk’s EV Accomplishments Are ‘Commendable’ But Says He’s Caused ‘Negative Corrosive Effect’ On Society
| Performances (+/-) | |
| Tesla | +1.43% |
| Nio | -3.38% |
| XPeng, Inc. (NYSE:XPEV) | -14.83% |
| Li Auto, Inc. (NASDAQ:LI) | -12.04% |
| Fisker | -22.42% |
| Workhorse Group, Inc. (NASDAQ:WKHS) | +5.01% |
| Hyzon Motors, Inc. (NASDAQ:HYZN) | -10.17% |
| Canoo, Inc. (NASDAQ:GOEV) | -9.83% |
| Rivian | +9.74% |
| Lucid Group, Inc. (NASDAQ:LCID) | +2.12% |
| Faraday Future Intelligent Electric, Inc. (NASDAQ:FFIE) | -23.57% |
| Arrival (NASDAQ:ARVL) | +11.02% |
| Nikola Corp. (NASDAQ:NKLA) | +5.15% |
| VinFast Auto Ltd. (NASDAQ:VFS) | +19.51% |
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