Polestar Automotive Holding ( NASDAQ: PSNY ) plummeted to a new low on Monday, extending losses for the Swedish EV manufacturer.
Shares of the Gothenburg-based partner of Volvo Cars fell about 5% to an intraday low of $5.65, the lowest on record for the 2022 IPO. The stock has declined over 30% in the past month, leading much of the pack of loss-making EV startups over that span. The decline was only outdone by Canoo ( GOEV ) in terms of its immediate peers.
Much of the sector has been put under particular pressure by macroeconomic headwinds, not least in terms of a more hawkish Fed policy that has sent the broader market south. As such, a longer runway to profitability has come under particular scrutiny. For Polestar, upside is expected to be limited under current conditions.
“Economic headwinds will also push any Polestar-upside back by at least 12 months,” Bernstein analyst Daniel Röska wrote in a recent downgrade of Volvo Car ( OTCPK:VLVOF ).
Polestar ( PSNY ) stock sustained about a 4.5% drop in the waning hours of Monday's trading.
Nonetheless, Polestar ( PSNY ) recently reaffirmed its goal to deliver 50K cars in 2022 .
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Polestar plunges to all-time low amid EV sector slide