Lordstown Motors Stock Trades at All-Time Low
LORDSTOWN, Ohio – Lordstown Motors Corp. stock briefly traded at a new 52-week low Thursday, bottoming out at $1.48 per share shortly after 2 p.m., then turning slightly upward later in the afternoon.
The startup electric-vehicle manufacturer, which trades under the ticker RIDE, ended the trading session at $1.54 per share, or 6.6% lower than Wednesday’s close.
RIDE stock has lost 62.3% of its value over the last six months and is down 36% over the last month.
Overall stocks sank Thursday, as investors expressed concerns over the Federal Reserve’s historic interest rate hike on Wednesday to curb inflation, fearing it could plunge the economy into a recession.
The Nasdaq Composite, where RIDE is listed, fell more than 4% and is down 30% year-to date. The Dow Jones Industrial Average closed down 741 points to under 30,000 on Thursday.
Lordstown Motors recently sold its Lordstown Assembly plant to Foxconn for $230 million. The EV company also entered into a contract manufacturing agreement with Foxconn to produce Lordstown Motors’ first product, the all-electric Endurance pickup.
Another joint venture partnership calls for the companies to build future Lordstown Motors vehicles on Foxconn’s mobility-in-harmony, or MIH, EV platform.
Lordstown Motors executives have said that they need to raise additional capital this year to put the Endurance into production. The company projects manufacturing just 500 EV pickups this year and another 2,500 in 2023.
Copyright 2022 The Business Journal, Youngstown, Ohio.