Lordstown Motors Stock Surges as Firm Nears Factory Sale

The stock is set to topple a long-term rejection level today

Digital Content Manager
Sep 30, 2021 at 9:31 AM
facebook X logo linkedin


The shares of Lordstown Motors Corp (NASDAQ:RIDE) are up 6.9% at $7.36 this morning, following news that the electric vehicle (EV) company is nearing a deal to sell its Ohio-based car factory to Taiwan's Foxconn Technology, according to those familiar with the matter. Per these reports, the company will likely reach an agreement as soon as this week. The transaction's value is not yet known.

The stock is still far off from its annual highs near the $30 level, touched in mid-February, but a bull gap in late August has helped separate the stock from its record lows, while the $6 level looks to have emerged as a floor for RIDE during the past month. Today's pop has the equity set to break north of the 100-day moving average for the first time since February, though Lordstown Motors stock still sports a 63% year-too-date deficit. 

Analysts have been cautious on the EV name. Of the five in coverage, just one call RIDE a "strong buy," while three say "sell" or worse. The 12-month consensus price target of $4.57, meanwhile, is a whopping 37.9% discount to last night's close. 

Short interest on the equity is still astronomically high, despite a 3.7% drop during the last reporting period. In fact, the 30.27 million shares sold short account for 27.2% of the stock's available float, or three days worth of pent-up buying power. 

 

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI