PSNY - Is It Too Late to Buy Polestar Automotive Stock?
2023-07-03 08:45:00 ET
Polestar Automotive (NASDAQ: PSNY) hasn't impressed investors since its public debut last June. The electric vehicle maker went public by merging with a special purpose acquisition company (SPAC), and its stock opened at $12.98 on the first day. But today Polestar's stock trades at about $4.
Like many other SPAC-backed EV makers, Polestar drove away the bulls by overpromising and underdelivering. It initially claimed it could produce about 29,000 vehicles in 2021 and 65,000 in 2022 during its SPAC presentation, but it actually delivered 28,677 vehicles in 2021 and 51,491 vehicles in 2022.
That shortfall wasn't as disastrous as the grim results of other SPAC-backed EV makers like Nikola or Canoo , but investors still tossed out Polestar with those flimsier plays as rising interest rates rattled the market. Should investors still consider buying Polestar as a turnaround play on the EV market after that steep decline?
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Is It Too Late to Buy Polestar Automotive Stock?