Lordstown Motors (NASDSAQ:RIDE) is having a good morning. The electric vehicle (EV) play, which has picked up interest in the past as a short-squeeze play, is looking to begin delivering on its flagship vehicle. The company’s production update is allowing RIDE stock to ride the wave upward today.
Lordstown is an Ohio-based electric vehicle outfit that is primarily working to produce electrified trucks. The company, sought after by many for its high short interest, also attracts investors with a robust business plan and a 6.2-million-square-foot production facility. It recently broke news of a $400 million investment in the company by a hedge fund called YA II PN.
Of course, an auto company can have all the production facilities in the world and billions in investments, but it won’t matter if it’s not putting wheels on the road. Lordstown has a production model ready to go, which it unveiled last summer, in the Endurance pickup. However, it has yet to begin production of the Endurance.
RIDE Stock Appreciates as Production Nears
Investors couldn’t have heard better news this week about the jumpstart green-truck company. Lordstown buyers are learning that production of the Endurance will start late next month. The company revealed this prospective production timeline back in May, but this new announcement shows Lordstown is remaining on top of their promise.
While production of the Endurance will begin in September, the trucks won’t be seen on roadways just yet. Lordstown says it will spend December and January securing regulatory approvals and vehicle validation. Only after this will deliveries begin for the hyped-up pickup truck. The company says it expects to have deliveries for early customers delivered in Q1 of 2022. The full commercial delivery rollout will begin in Q2.
RIDE stock is seeing a decent boost on the company’s production reaffirmation. The stock is up over 4% on the news, and volume has already surpassed RIDE’s daily average volume very early in the day.
On the date of publication, Brenden Rearick did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.