Traders seeking something different in the electric vehicle space should take a look at California-based Fisker (NYSE:FSR). This company went public through a reverse merger with Spartan Energy Acquisition back in October, and today FSR stock is available on the New York Stock Exchange.
One could say that Fisker’s vehicles are interesting, but that wouldn’t really be enough. The company goes much further than that, declaring that it’s a “designer and manufacturer of the world’s most emotion-stirring, eco-friendly electric vehicles and advanced mobility solutions.”
That’s pretty intense. Yet, that’s appropriate since this is a highly ambitious electric vehicle company that’s seeking to stand out among an increasingly crowded field.
As for FSR stock, it seems to still be seeking a direction and we’ll discuss that in a moment. The bigger picture, however, is that Fisker might not be for everyone, but it’s certainly an automaker like no other.
A Closer Look at FSR Stock
Prior to the announcement of Fisker’s business combination with Spartan Energy Acquisition, there wasn’t a whole lot of price movement in FSR stock.
For many months, the FSR stock price clung to the $10 area. However, patient investors who stayed the course were eventually rewarded.
Starting in July, FSR stock gyrated wildly and took investors on a roller-coaster ride. By October, there were two quick pumps to the $17 level. Both of those rallies were followed by rapid price declines.
A third pump happened in November as FSR stock flew to a 52-week high of $23.63. I hope that nobody reading this chased the stock near that level, as it retreated afterwards.
As of Jul. 22, the FSR stock price settled at $14.86. It’s difficult to get a good reading on this stock’s direction. Perhaps the market is still trying to figure out what to make of this highly unusual company.
A Fancy Car for the Future
There are a number of things that prospective FSR stock owners should know.
First of all, Fisker’s main vehicle is known as the Ocean, and it will be assembled by a European company called Magna International (NYSE:MGA).
The next thing to know is that the Ocean will have a base price of $37,499. By that, I mean the price that’s prior to applicable taxes and rebates.
That’s actually a pretty good price for a decidedly fancy electric vehicle. After all, it’s not every day that you hear about an automobile model with a vegan interior and a solar sunroof.
So, here’s where some potential investors might get frustrated. Unfortunately, the the Ocean won’t likely be available to the public until the fourth quarter of 2022.
Be Patient for Best Results
If that’s a deal breaker for you, then you might want to look for another electric vehicle SPAC to invest in. Otherwise, it’s best to just relax, be patient and keep your eyes on the prize as the Ocean is designed to capture the automotive trends of the future.
While you’re holding your FSR stock shares, Fisker is busy innovating breakthrough technologies. A case in point would be the Fisker Intelligent Pilot, which will be launched with the Ocean SUV.
In a partnership with Magna International, Fisker is designing the Intelligent Pilot platform as “an advanced and scalable domain controller architecture that will support a range of technologies and customer convenience features for the Ocean.”
These technologies and features will include multi-function autonomous systems as well as over-the-air updates. They’ll also include digital imaging radar and high-resolution cameras supporting driver assistance features.
Clearly, Fisker is doing everything the company can do to make the Ocean a standard-setter upon release.
The Bottom Line
It’s fair to say that FSR stock is still finding its direction. Hopefully, that direction will be to the upside over the long term.
And indeed, it will require some long-term thinking to really believe in Fisker. Yet, the investors’ patience should be rewarded in due time as the Ocean will be a vehicle in a class of its own.
On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article.
