Written by Cláudio Afonso | LinkedIn | X
Shares of electric vehicle maker Canoo extended their rally on early Monday, rising 23% in early pre-market trading to reach $0.63, following a 26% surge on Friday.
In the first hour of trading, however, Canoo’s stock pared back some of these gains, trading up 9% at $0.56 as investors await the company’s third-quarter earnings report, due Wednesday after the market close.
Since the record low reached on November 4, the stock has surged 52%.
Last week, the startup announced it entered into a $12 million secured revolving credit facility with AFV Management Advisors, LLC, an entity founded by the company’s CEO.
The stock reached a new record low last week at $0.37 after the company announced that it is furloughing 30 factory workers in its Oklahoma plant until late January next year as a timeline for mass production start remains unknown.
Two years ago, in November 2022, Canoo said it had acquired $2 billion in customer orders claiming they were ready for the start of production set for later that month.
In recent weeks, the company has faced leadership changes, furloughed thirty workers, received lawsuits from suppliers, and dealt with accusations of mismanagement from some employees.
Year-to-date, the stock has lost approximately 90% of its value as investors continue to await mass production and large-scale deliveries of Canoo’s trucks and delivery vans following the agreements with major customers, including NASA, Walmart, and the U.S. Postal Service.
In the second quarter of the year, Canoo’s revenue reached $605,000, while its operating expenses decreased sequentially by 33%, or $20.7 million.
Written by Cláudio Afonso | LinkedIn | X
