The shares of electric vehicle stocks (EV) were increasing on Thursday, including Rivet (NASDAQ: RIVN) and EV -related power chip makers Wolf (Nyse: wolf) and Semi -conductors of indie (NASDAQ: Indi). These stocks were up 5.7%, 14.9%, and 5.1%, respectively, at 1:30 pm ET.
There was no company -specific news for these three stocks today. That means investors are likely to respond to positive incremental news to EVS in general. Also, given how beating these stocks were, even “less bad” news is probably enough to produce A short cover.
While all of these stocks experience major movement today, all three have been severely beaten down. Indie semiconductor is always down 78% of highlights, but Rivian and Wolfspeed are down 93% and stunning 96%, respectively. In the meantime, a brief interest in each of these stocks is relatively high: Rivian's short interest is as a percentage of shareholdings due 14%, and short wolfspeed and indie short interest is about 25%.
The three companies are currently losing money as they invest in an attempt to capture their future share of the EV industry. Rivet Seeking to scale its manufacturing plants and best technology competitors, which is expensive. Wolfspeed has invested huge sums of money in silicone carbide chip production plants in the US, but as yet it has little revenue to show for it. And indie is a small cap stock that produces sensors and power chips for autonomy and electrification.
However, with last year's serious slowdown in the sale of electric vehicles, all three see a quiet demand for their products after making major investments. Demand slowdown has been particularly painful as all stocks have to invest in advance but does not receive as much revenue from those investments yet.
It was not clear why stocks beaten by EV moved down today. The progress could be associated with the media story published today that the State Department is planning to buy 400 armed electricity vehicles to transport diplomats and other high -level officials. The story is likely to be noticed because it was initially reported that the contract would go to the Testify (NASDAQ: TSLA) Cybertruck. Given the participation of CEO Elon Musk in Trump's administration, the story highlighted a possible conflict of interest.
A department official later explained that, in December, the State Department had published a request for information from private companies about building an armed EV and that only one company had responded, probably Tesla. The Officer then went on to say that the next step would be an official request for manufacturers to bid on the project. However, the solicitation is suspended for the time being.