Canoo Inc. (GOEV) stock jumps 79% on Walmart’s order for 4,500 EVs

July 12, 2022 10:29 AM PDT | By Versha Jain
Follow us on Google News:

Highlights:

  • Torrance, California-based Canoo Inc. (NASDAQ: GOEV) designs and manufactures electric vehicles (EVs).
  • Today, it announced a definitive agreement with Walmart Inc. (WMT) where Walmart will purchase 4,500 all-electric delivery vehicles from Canoo with an option to purchase up to 10,000 units. 
  • GOEV stock plummeted 70.78% YTD and 73.98% in one year.

Canoo Inc. (NASDAQ: GOEV) stock soared 78.52% to US$4.231 on Tuesday morning after it announced a definitive agreement with Walmart (WMT) where Walmart will purchase 4,500 all-electric delivery vehicles with the option to purchase up to 10,000 units. 

Torrance, California-based Canoo Inc. designs and manufactures electric vehicles (EVs) for commercial and consumer markets. Its product pipeline includes Electric delivery vehicles, Lifestyle delivery vehicles, and Sports vehicles.

The retailer company will begin the purchase with Canoo’s Lifestyle Delivery Vehicle (LDV), which is expected to hit the road in 2023. Walmart will be the first to receive the LDVs. 

Walmart will use these fully electric LDVs to deliver online orders. The EV utilization for online delivery will help it achieve the zero-emission goal by 2022. 

Meanwhile, Canoo plans to start advance deliveries to discover any refining requirements and finalize vehicle configuration in the next few weeks.

These EVs are built on proprietary multi-purpose platform (MPP) architecture and will be used for last-mile delivery. These vehicles are optimized for high-frequency door-to-door deliveries, including grocery, meals, etc. Their interior is designed to suit small package delivery at a competitive cost. 

Walmart associates will be driving these LDVs to deliver online orders as well as for delivery-as-a-service business. 

Image Source: ©Kalkine Media®; © Canva Creative Studio via Canva.com

Financials:

Canoo has a market capitalization of US$1.09 billion. The stock price moved to its highest price of US$13.35 and the lowest of US$1.75 in the last 52 weeks.  

The EV company had reported ‘nil’ revenue for the quarter ended March 31, 2022, and incurred a net loss of US$125 million, or US$0.54 per share diluted, compared to the net loss of US$15.22 million or US$0.07 per share diluted in the year-ago quarter. 

The company brought its IPO in 2019. Its stock plummeted 70.78% YTD and 73.98% in one year at the closing price of US$2.37 on July 11, 2022. 

Bottom line:

Tony Aquila, Investor, Chairman and CEO of Canoo, said that the rising gas prices present an opportunity for the growing demand for electric vehicles. He added that with this agreement with Walmart, Canoo is likely to get the strategic advantage of Walmart’s massive presence in the market. 


Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media LLC (Kalkine Media, we or us) and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures/music displayed/used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it, as necessary.