Are These EV Penny Stocks On Your Watch List This Week
We’ve talked about EV penny stocks over the last few weeks. The recent surge of interest in alternative energy has caused investors to put a focus on this niche. At the start of July, delivery figures came out from two popular EV companies. These include Nio Inc. (NIO Stock Report) and Tesla (TSLA Stock Report).
First, on Thursday morning Nio provided a June update and progress report on Q2 delivery. The company delivered 10,331 vehicles in the 3 months ended June 2020. It also set a new monthly record with 3,740 vehicles delivered in June, alone. This equates to a jump of nearly 180% year-over-year. That was for June and for Q2 as a whole, deliveries jumped 190.8% compared to Q2 of 2019.
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Obviously, NIO stock was one of the top penny stocks to watch this year. But as with many companies that enjoy progress, NIO has left the nest. On flip side, market leaders are also realizing significant growth this year. Tesla stock was already on the rise, hitting new records in the stock market. Second quarter deliveries have also set milestones this quarter. For Q2 2020, Tesla delivered 90,650 vehicles, which beat the 72,000 FactSet consensus. On top of that, Tesla said its production is back to pre-COVID levels.
Thanks to this, EV stocks are on the move right now. Are any of these EV penny stocks on your list?
EV Penny Stocks To Watch: ElectraMeccanica Vehicles Corp.
ElectraMeccanica Vehicles (SOLO Stock Report) has been one of the more speculative EV penny stocks to watch this year. In June, the company announced the accelerated expansion of its retail footprint. ElectraMeccanica’s flagship SOLO EV will now have new locations planned for Arizona and Oregon.
“To continue to build awareness and meet consumer demand, we are pleased to announce that we are accelerating our expansion into key markets – Arizona and Oregon – by bringing our SOLO EV to Macerich’s upscale Scottsdale Fashion Square and next, Portland. Our updated plan to open new direct-to-consumer retail locations at high-traffic retail centers in EV-friendly cities provides a unique opportunity for potential customers to learn more about ElectraMeccanica and the SOLO,” said Paul Rivera, Chief Executive Officer of ElectraMeccanica.
With a keen focus on its SOLO flagship vehicle and retail footprint expansion, can ElectraMeccanica start production? It has plans for new locations in Arizona and Oregon as we know. Aside from that, the company has also focused on retail awareness in general. This includes storefront locations in Los Angeles and Sherman Oaks, California.
Keep in mind, the first time we looked at SOLO stock, shares were hovering around $1.36 and speculative buzz started building around the company. Since then, it’s climbed as high as $3, pulled back, raised a couple of million dollars ($20M to be specific), and started climbing at the end of Q2. With these latest figures from the likes of NIO and Tesla will this help propel SOLO stock further?
EV Penny Stocks To Watch: Kandi Technologies Group
Kandi Technologies Group (KNDI Stock Report) is in the “picks and shovels” business for EV. Earlier this year, shares dropped from highs of $5.79 to a low of $2.17 in March. However, since then, Kandi Technologies appears to have made strides to turn things around. What exactly does Kandi Technologies do?
It develops, manufactures, and sells various vehicular products Kandi Vehicles also jointly invested with Geely Group, a Chinese automaker, in the establishment of Fengsheng Automotive Technology Group Co., Ltd. This was done in order to develop, manufacture and sell pure EV products.
Early last quarter Kandi announced that Fengsheng introduced its first pure electric SUV, the Maple 30x. Following better than expected earnings per share results, KNDI stock started to make a move even higher.
On a recent conference call, Kewa Luo, Kandi’s IR rep explained a few key initiatives for the company. He explained that the goal for the company’s 30X is to take market share. They plan to do this through aggressive pricing models. “But the second car, 60V, this is based on their gasoline-powered car, 7-seated model. However, once it’s going to be modified to be the EV, it’s going to be turned to the 5 seater,” and that, “in the next few years, Fengsheng is going to release many very nice, high-performance, high standard EVs.”
Will the latest optimism help boost momentum for other Chinese EV stocks this month?
EV Penny Stocks To Watch: Ayro Inc.
Ayro Inc. (AYRO Stock Report) designs compact, emissions-free electric fleet solutions. Its vehicles are used in urban and short-haul markets. The company recently closed a $5.5 million offering at $2.50 in June for extra working capital. But for the most part, there hasn’t been much other news to speak of.
So why is AYRO stock climbing? Prior to June, this was one of the more beaten down penny stocks. Shares had dropped to under $0.50 and trading activity all but dried up. However, heading into the end of May/start of June, AYRO stock began waking up. At the time it was known as DropCar (f/k/a DCAR). This culminated into what was found to be a big announcement on May 29th. The company and DropCar announced a merger, which we know today, became Ayro Inc.
Obviously, this latest surge could be a result of sector momentum. There hasn’t been a whole lot more from the company. However, pickign through some of the filings, you can see that Ayro has a North American footprint with dealers in the U.S., Mexico, & Canada. Vehicle product revenue for the years ended December 31, 2019 and 2018 were $787,386 and $1,198,977, respectively. Furthermore, non-assembly revenue for the years ended December 31, 2019 and 2018 were $0 and $4,065,000, respectively. Similar to the others, will AYRO stock manage to take hold of this industry momentum in Q3?