Polestar Has Global Reach, Patient Strategic Shareholders And A Believable Path To Breakeven, Says Analyst
Portfolio Pulse from Shivani Kumaresan
Piper Sandler analyst Alex Potter initiated coverage on Polestar Automotive Holding UK Limited (NASDAQ:PSNY) with an Overweight rating and a price target of $3. The analyst noted that Polestar's focus on premium electric vehicles could support above-average margins despite limiting the size of its addressable market. The company's unique approach of using its key shareholders as production partners could boost ROIC and expedite the launch process. The analyst also highlighted potential risks including Anti-China trade policy, dilutive capital infusions, low liquidity, extreme reliance on Geely/Volvo, competition, rising interest rates, and launch delays.
November 01, 2023 | 7:15 pm
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Piper Sandler analyst Alex Potter initiated coverage on Polestar (NASDAQ:PSNY) with an Overweight rating and a price target of $3. The company's focus on premium electric vehicles and unique production approach could support above-average margins and boost ROIC.
The analyst's positive outlook on Polestar, including the Overweight rating and $3 price target, could potentially drive the stock price up in the short term. The company's focus on premium electric vehicles and unique production approach are seen as strengths that could support above-average margins and boost ROIC.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100