[Ambergold]

Stock is performing like a company about to go under. A dilution at this point will be catastrophic for existing holders. Lease rates are high, competition is fierce. There’s delays getting new models to market and cash burn is significant. They have a lot going for them but unfortunately the fundamentals are against them.

 

[Eyeballs]

Geely has plenty of money. The EV market is expanding exponentially right now, and Polestar have quite modest ambitions for sales.

All EV makers are suffering from supply constraints right now, Polestar, Tesla, BYD are well placed because they have no legacy baggage.

Short-term stock price fluctuations are a poor indicator of real company performance.

 

[jkk]

Stock is performing like a company about to go under. A dilution at this point will be catastrophic for existing holders. Lease rates are high, competition is fierce. There’s delays getting new models to market and cash burn is significant. They have a lot going for them but unfortunately the fundamentals are against them.

The stock is performing horribly, that's true. But how do you get to delays in getting new models to the market? If they would announce that deliveries of Polestar 3 would be postponed from Q4/23 to Q1/24 I'd worry.

 

[Icesingh]

Over 94% of the stock is owned by Geely and Volvo…..when this figure drops to below 60% then I’d starte to worry.

 

[Aggie57]

You're really the life of the party aren't you, such positive contributions.

There are other EV makers with more issues than Polestar. Geely has deep pockets, it makes no sense for them to walk away from this investment any time soon.

 

[Tacoenthusiast]

Oooh we found the business expert!!!

 

[JRRF]

Polestar is flying under the radar, but demonstrating better progress and consistency than other EV startups. The market overall is not in great shape, but there's little in the fundamentals to suggest that Polestar is in trouble. Will Polestar stock ever rise the way Tesla did and make those that bought it millionaires? Unlikely. But will it continue to chug along? I'd say that's very likely.

 

[Bl4ckD0g]

Yup, Tesla stock bears no resemblance to reality. It was nice when there was a bull run on it, but it is totally overvalued. I'd rather trade in crypto

 

[Icesingh]

Yup, Tesla stock bears no resemblance to reality. It was nice when there was a bull run on it, but it is totally overvalued. I'd rather trade in crypto

So would Tesla but they make losses on it lol

 

[stonyhill]

Lots of growth stocks are struggling. The important things: does Polestar have enough cash in hand? And are they on track to keep increasing deliveries? I feel good about both.

 

[JRRF]

If they were in trouble they wouldn't be spending money on halo cars (e.g. P6).

 

[Witchcraftz]

I feel good about Polestar

QUOTE:
The company reported an 84% increase in revenue for 2022 to roughly $2.5 billion and exceeded their 50,000-vehicle delivery target. Polestar aims to increase deliveries by nearly 60% to approximately 80,000 cars in 2023.

Net loss fell from $1B last year to $466 million in 2022. Adjusted operating loss narrowed by 8% to $914 million, while its adjusted earnings before interest and taxes, depreciation and amortization increased 4.8% to $759 million.



Source:

Polestar releases fourth quarter and full year 2022 financial results

Polestar Automotive Holding UK PLC (“Polestar” or the “Company,” Nasdaq: PSNY), the Swedish electric performance car brand, reports its preliminary unaudited financial and operational results for the year ended December 31, 2022.

media.polestar.com

 

[14Ringer]

Some interesting tweets from Polestar today about the recent news.

https://twitter.com/i/web/status/1635684730359230479

 

[Icesingh]

Some interesting tweets from Polestar today about the recent news.

https://twitter.com/i/web/status/1635684730359230479

It has another line Underneath that last line, it’s in font size 1 and white writing and reads “and when we run out we will go to mummy Volvo and daddy Geely for more money.”

 

[JRRF]

Cost of Sales is rising slower than Revenue, so assuming they continue to sell more cars (which is anticipated given the new models), they will be fine.

 

[Icesingh]

Cost of Sales is rising slower than Revenue, so assuming they continue to sell more cars (which is anticipated given the new models), they will be fine.

Agreed, and unlike rival start ups they are not tied to one market but are virtually global.

 

[Plstr]

Our resident financial "expert" has an interesting definition of "fundamentals"...

 

[Aggie57]

Agreed, and unlike rival start ups they are not tied to one market but are virtually global.

This is a good point; Rivian / Lucid etc. have a very high dependence on the US market. I'd place them on the watch and see list myself.

 

[VolvoGuy]

Polestar will definitely survive. If nothing else it has very rich parents so as some of the poorly capitalized startups fail, Polestar will be in a better position on the other side of the recession. Also Polestar has a huge potential in the US. Service is phenomenal in some areas but in other areas they had embraced the “soup nazi” mentality. As that mentality changes and they bring some of the subpar spaces to more customer oriented mentality, they can gain additional share.

 

[JRRF]

If nothing else it has very rich parents so as some of the poorly capitalized startups fail,

Of course Lucid also has very rich parents.