Why Lordstown Motors Stock Is Plummeting After a 21% Jump in September
Lordstown Motors' (NASDAQ: RIDE) trucks might still be months away from hitting the roads, but the once-hot electric vehicle stock has shifted into reverse again: Shares have slumped by 34.8% so far in October after rallying by 21.3% in September, according to data provided by S&P Global Market Intelligence.
Lordstown Motors entered September on a strong note after the company announced the appointment of new CEO, Daniel Ninivaggi, in late August. Investors had high hopes that Ninivaggi would get things moving in the right direction again after Lordstown Motors' founder and chief financial officer left abruptly in June following an investigation into allegedly inflated preorder numbers for the Endurance pickup, and the company said it was running severely short of cash.
At the time, investors' hopes for a turnaround were fueled by management's plans to begin limited production of the Endurance in late September -- even as the company sought partners to lease space in its 6.2-million-square-foot manufacturing plant in Ohio to raise funds.
Source Fool.com
