Written by Cláudio Afonso | LinkedIn | X
Shares of Faraday Future sank more than 20% on Monday to $4 per share and dipped 25% further early Tuesday to as low as $3 before being halted. Over the last month, the stock from the electric vehicle startup has lost 80% of its value sending the market cap of the company to below $40 million.
After the trading of the stock was suspended for a few minutes, shareholders were able to buy and sell again and the share price further declined to $2.90.
The stock closed at 12.8 cents just before the 1 for 40 reverse stock split approved by shareholders on July 31st took place. On Monday, the stock opened at $4.87 per share.
Year to date, the stock price has crashed 89.06%, according to MarketWatch.
Thanks to the execution of the reverse stock split, FF is now complying with the Nasdaq listing rule where stock must have a minimum closing bid price of at least $1 per share for 30 consecutive trading days.
Never Miss an Update on Faraday Future
Last week, Faraday Future delivered the second car year to date as it struggles to secure enough cash to produce and deliver its ultra-luxurious EV model priced at about $300,000.
Earlier this Monday, the company said it will unveil its sub-brand on September 19 alongside the “China-U.S. Automotive Bridge Strategy”.
The company stated that it would “provide more details and an execution plan for the strategy” at the event while declaring that the sub-brand will “potentially accelerate” the mass-market entry while maintaining its “ultra-luxury” segment with the main brand.
Never Miss an Update on Faraday Future
Written by Cláudio Afonso | LinkedIn | X
