Electric Vehicle Stocks Dip Amid Broader Market Weakness

Electric vehicle stocks moved down in the week ending on June 23, as the broader market weakness dragged these stocks lower. As we enter a lean week before second-quarter deliveries kick in, stocks could be on “hold” mode for a while.

Fans of Tesla, Inc. (NASDAQ:TSLA) continue to share sightings of the Cybertruck and news about the company’s much-awaited vehicle lineup. A screenshot of a patent filing that was published this week showed that the Cybertruck’s tailgate can be operated via a smartphone or a key fob.

A new video leaked by a Twitter user showed a frame of the Cybertruck going through a Body-in-White line. BIW is the name given to a car body’s sheet when all of its components, barring moving parts, trims or chassis subassemblies, have been welded together.

Ground control to Major Tom!!! 🚦🚦🚦 🔥🔥🔥🔥🔥 Cybertruck is a GO!

Has production begun in Texas @elonmusk ??? 

— Greggertruck (@greggertruck) June 23, 2023

The sightings, along with the news shared on social media, suggest that the much-loved but long-delayed vehicle could roll out by the end of the third quarter.

Tesla CEO Elon Musk also met with Indian Prime Minister Narendra Modi during the latter’s visit to the U.S. Following the meeting, Musk said Tesla hopes to invest in India as soon as “humanly possible.” The billionaire entrepreneur also said he tentatively plans to visit India in 2024. The news is important as Tesla and the Indian government have been at odds over conditions that the company must meet in order to set up shop in the country.

Two Tesla analysts additionally shed their bullish stances this week, based on the valuation of the stock following its recent run-up. Morgan Stanley’s Adam Jonas and Barclays’ Dan Levy, however, were positive on the company’s long-term fundamentals.

Furthermore, a Cars.com survey named Tesla’s Model Y, Model 3, Model S and Model X as the top four America-made vehicles for 2023.

Following in the footsteps of legacy automakers General Motors Corp. (NYSE:GM) and Ford Motor Co. (NYSE:F), Rivian Automotive, Inc. (NASDAQ:RIVN) announced a charging partnership with Tesla. The California-based company decided to warm up to the Musk-led company’s North American Charging Standard, even as fellow EV startup Lucid Group, Inc. (NASDAQ:LCID) opted to stay out. Lucid’s CEO Peter Rawlison suggested in a video that the charging connector did not matter and what mattered instead was high-speed charging, which would further electrification in the country.

Struggling EV truck maker Nikola Corp. (NASDAQ:NKLA) suffered another setback as a fire outside its Phoenix headquarters affected some of its battery EV trucks. The company confirmed the fire through a tweet and said foul play was suspected as a vehicle was seen in the area of affected trucks just ahead of the incident.

Early this morning behind our Phoenix headquarters, a fire occurred which affected multiple battery electric trucks. No one has been injured. Foul play is suspected as a vehicle was seen in the area of the affected trucks just prior to the incident and an investigation is…

— Nikola Motor Company (@nikolamotor) June 23, 2023

Ford will use a conditional loan of $9.2 billion from the U.S. Department of Energy to construct three EV battery plants in conjunction with the auto manufacturer’s South Korean partner SK On.

The loan will be distributed to BlueOval SK, or BOSK, a joint venture between Ford and SK On.

Close on the heels of beginning its deliveries in Europe, Fisker, Inc. (NYSE:FSR) commenced deliveries of 22 vehicles to customers from its facility in the Los Angeles area. Additional deliveries will continue through the summer, the company said.

Lordstown Founder Cashes Out: Steve Burns, the founder of Lordstown Motors Corp. (NYSE:RIDE), has dumped his entire stake in the company. The executive sold 581,000 shares on May 23, another 200,000 on May 24 and the last 591,752 on June 16. The move comes as the company is locked in a battle with its manufacturing partner Hon Hai Precision Manufacturing Company Limited (OTC:HNHPF) and is on the brink of going bust.

Faraday Future Delays Deliveries: Shares of Faraday Future Intelligent Electric, Inc. (NASDAQ:FFIE) plummeted this week after the company announced a delay in deliveries of its FF 91 EV. The company also floated a plan to raise capital and a proposal to reverse-split its shares.

Produced in association with Benzinga

Edited by Saba Fatima and Asad Ali