VinFast (NASDAQ:VFS) stock is trending higher today on news that the Vietnam-based electric vehicle (EV) maker will open a battery production plant in India. Reuters broke the story this morning, citing unnamed sources.
The EV maker declined to comment on the potential battery plant. However, sources say that VinFast is expected to unveil information about the project “in coming days.” Further, a number of VinFast officials have already examined the planned battery factory site in southern India, an unnamed “senior official directly involved in the matter” told Reuters.
Back in September 2023, VinFast began recruiting employees in India. In October, the firm then disclosed that it intended to open factories in the country as well as in Indonesia.
According to Seeking Alpha, at the Consumer Electronics Show (CES) next week, VinFast is slated to introduce a “mini eSUV” and a “full-size SUV” called the VF 3 and the VF 9, respectively. The latter EV will reportedly feature “a new streaming service.”
As of this writing, VFS stock has a short interest as a percentage of float of 23.45% per Fintel. Shares also slid about 16% yesterday.
A Very Bullish Outlook on VFS Stock
On Nov. 21, Wedbush launched coverage of VFS stock with an “outperform” rating. Further, analyst Dan Ives called its factory “one of the most impressive facilities” he has seen. The analyst is also impressed with the firm’s EVs and placed a $12 price target on VinFast stock.
Currently, shares of VFS trade slightly above the $7 mark.
On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
