Sep 30, 2022 (Vehement Media via COMTEX) -- FinancialCentre broker David Frenkel says that NASDAQ: PSNY shares have been on a roll lately, extending their winning streak to five straight days of gains. The stock has rebounded nicely from a post-earnings sell-off, and it looks like the bulls are back in control. There are a few reasons to be bullish on PSNY stock.
First, the company is making progress on its plans to ramp up the production of its electric vehicles. Second, demand for electric cars is proliferating PSNY is well positioned to benefit from this trend. Third, the stock is relatively cheap, trading at just eight times weighted earnings. Given all of these factors, it's no wonder that PSNY shares are on the move higher.
On Thursday, shares of PSNY added a further 1.52% and closed the trading session at a primorial Street’s volatility continued on Thursday as another losing session for all three major indices set them up for a losing week. The S&P 500 index fell 1.09%, the Dow Jones Industrial Average declined 1.03%, and the tech-heavy Nasdaq Composite Index retreated 1.27%.
Thursday’s losses were driven by a combination of factors, including disappointing economic data, corporate earnings misses, and renewed trade tensions between the U.S. and China. Meanwhile, in the bond market, yields continued to fall as investors sought safe-haven assets in stocks. Stock sell-off on the benchmark's critical Treasury note fell to a three-year low of 1.47%. In the week ahead, investors will be closely watching the release of several key economic reports, including inflation data and retail sales figures. With stocks hovering near record highs, further weakness could trigger a more significant sell-off in the weeks ahead. A gloomy warning from global shipping firm FedEx /zigman2/quotes/203047719/composite FDX -2.09% suggests that economies aren't as healthy as some statistics might indicate. The Dow Jones dropped by 173 points, the S&P 500 fell 1.13%, and the NASDAQ declined by 1.43% during the session.
While the stock market had a mixed day of trading, with some sectors up and some down, electric vehicle stocks were among the decliners. This is likely due to concerns about weaker sales in a sluggish economy. Tesla /zigman2/quotes/203558040/lastsale TSLA +0.10% was one of the few electric vehicle stocks to post a joyous day after a new analyst at Needham took over coverage of the stock and raised its rating from Sell to Hold. While Tesla's share price is still d considerably down from its highs, the analysts' opinion change may indicate that the stock is starting to stabilise. Stabilise will be watching watch to see if Tesla can maintain its momentum in the coming days and weeks. Tesla /zigman2/quotes/203558040/lastsale TSLA +0.10% and Polestar were the only evil car companies in the market as all other EV makers were facing a downfall like Lucid Group Inc /zigman2/quotes/221104327/composite LCID -1.65% , Rivian /zigman2/quotes/230726939/composite RIVN -2.98% , and Nio /zigman2/quotes/204905836/composite NIO -0.25% were among the stocks that closed the day in the red. The reason for this continuous downtrend could be because of the notion that electric vehicles are not appealing to the masses and they do not have range anxiety. Also, the initial cost of buying an EV is still high compared to its gasoline-powered rivals. Regarding baRegardingrs, people are still sceptical about its long-term and resale value. Scepticism about long-teScepticismlity and resale value. But as EV technology matures, we can expect these issues to be resolved in due time. Until then, Tesla and Polestar will likely continue to dominate the EV space.
Polestar stock forecast
When it comes to electric vehicles, one of the biggest concerns is range anxiety – the fear that you won’t be able to make it to your destination before running out of power. This is one area where Polestar, the electric car brand owned by Geely Motors, is looking to make a big splash with its next generation of charging technology. Dubbed “Pulse”, the new infrastructure will allow for a 600KW of charging power, which the company claims will add 100km (62 miles) of range in just 4 minutes. By comparison, the current standard of 50KW chargers can only provide about 8 minutes of charge. In addition to the high power output, Polestar is also working on making its chargers more widely available, with plans to install them at major highway rest stops and grocery store parking lots. With these advances in charging technology, Polestar is looking to give drivers the peace of mind that they need to embrace electric vehicles fully. Geely has announced that its new cars will be able to add 300 kilometres of range in just five minutes of charging. It is unclear whether or not this technology will eventually make it into Volvo or Polestar vehicles.
Overall, it was a mixed day for the markets as some sectors rose while others declined. EV stocks were mainly in the red, except Tesla, which posted a small gain. Polestar continued its recent winning streak, adding 1.52% on the day. Looking ahead, investors will be closely watching economic data for clues about the strength of the recovery. FedEx’s warning about global shipping trends suggests that the economy is not as strong as some data suggests. This could weigh on EV stocks in the days and weeks ahead.
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