ZEV Stock Alert: 8 Things to Know About the GM Deal Lifting Lightning eMotors Today

What’s going on with Lightning eMotors (NYSE:ZEV) today? Shares of ZEV stock are enjoying a day in the green, up more than 6%. Lightning eMotors operates as a producer of medium and heavy-duty electric vehicles (EV). In addition, the company provides charging stations and custom applications. It was announced this morning that Lightning eMotors had entered into an agreement with General Motors (NYSE:GM) to build fully electric medium-duty vehicles for commercial fleet customers. So, what does this agreement mean for ZEV stock?

idex stock: Concept art of an electric vehicle with a charging cord coming out.
Source: Shutterstock

Lightning eMotors will be the first GM Specialty Vehicle Manufacturer (SVM) to provide all-electric Class 3 through Class 6 commercial vehicles. These vehicles will encompass a wide range of EVs, such as school buses, delivery trucks and shuttle buses.

Lightning eMotors CEO Tim Reeser praised the deal, commenting that:

“We are thrilled that GM is working with Lightning eMotors to make GM’s medium duty truck platform the basis for new electric vehicles. GM’s inclusive approach to electrification is a great match for Lightning’s position and role as a leading powertrain supplier in the commercial vehicle space.”

So, what else should you know about the deal sending shares of ZEV stock higher? Let’s jump right in.

ZEV Stock: 8 Things to Know About the Deal With GM

  1. Lightning has developed an electrification “flexible manufacturing approach” that is scalable and cost effective for medium-duty specialty vehicles.
  2. In addition, Lightning’s electrification approach reduces operating costs and benefits the environment by emitting zero tailpipe emissions.
  3. Developing commercial vehicle powertrains is a long and drawn out process. However, Lightning already has products in fleet use today that will be ready to roll out to customers this year.
  4. Lightning plans on electrifying certain GM platforms at its manufacturing facility in Colorado. GM provides several platforms that are designed for SVM customers to “upfit vehicles across a broad range of industries and applications.”
  5. Furthermore, financial terms of the collaboration were not disclosed.
  6. Over the last three years, Lightning has seen a substantial uptick in orders for EVs.
  7. Lightning eMotors became a company in 2009, although they began developing zero-emission-vehicle (ZEV) solutions in 2018.
  8. While shares of ZEV stock are in the green today, the EV maker is still down more than 20% year-to-date.

On the date of publication, Eddie Pan did not hold (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.

Article printed from InvestorPlace Media, https://investorplace.com/2022/02/zev-stock-alert-8-things-to-know-about-the-gm-deal-lifting-lightning-emotors-today/.

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