We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
EV Roundup: STLA Unveils Electrified Platform, FSR Faces NHTSA Scrutiny & More
Read MoreHide Full Article
The electric vehicle (EV) revolution is speeding up, with traditional automakers leaving no stone unturned to establish a strong foothold in this domain. Italian American automaker Stellantis (STLA - Free Report) unveiled its latest electrified vehicle architecture, the STLA Large platform. This cutting-edge platform is poised to support a range of mid-size and executive segment vehicles across Stellantis' diverse sub-brands, revolutionizing the EV landscape.
Solid-state battery manufacturer Solid Power, Inc. (SLDP - Free Report) took its partnership with SK On, a leading global EV battery developer, a step further with three new contracts.
School bus manufacturer Blue Bird Corp (BLBD - Free Report) received a record order of electric school buses from the Los Angeles Unified School District (“LAUSD”).
EV charging company EVgo (EVGO - Free Report) announced certain preliminary results for fiscal 2023 along with a simplified organizational structure.
Finally, EV startup Fisker garnered attention for unfavorable reasons, experiencing a continuous decline in its stock price throughout last week. The stock price dropped below $1. This downturn occurred in the midst of a National Highway Traffic Safety Administration (NHTSA) probe over braking issues.
Stellantis introduced an electrified vehicle platform known as STLA Large, which will serve as the backbone of the company’s next-generation electrical and software-defined vehicle technologies. The integration of features such as the STLA Brain, STLA SmartCockpit and STLA AutoDrive positions the platform at the forefront of innovation, ensuring that the vehicles are driven by cutting-edge technology.
The STLA Large platform boasts an unprecedented level of flexibility and adaptability. Initially focusing on full-size vehicles in the North American market, with flagship brands Dodge and Jeep leading the charge, the platform will eventually extend its reach to Alfa Romeo, Chrysler, and Maserati. Stellantis aims to launch eight vehicles based on the STLA Large platform between 2024 and 2026.
As one of the four global battery electric vehicle platforms outlined by Stellantis, including Small, Medium, Large and Frame, the STLA Large platform is engineered for extended life cycles. The interchangeability of crucial components, such as battery cell chemistry, electric drive modules, power inverters and software control, is designed to ensure longevity and sustainability.
Solid Power and SK On signed three new partnership agreements—a research and development license, a line installation arrangement and an electrolyte supply deal. The agreements can help Solid Power expand its footprint in South Korea and consolidate its existing relationship with SK On. The agreements will increase overall collaboration and development on Solid Power's solid-state cell technology. It will allow SK ON to use Solid Power’s cell technology for research and development, as well as to manufacture batteries on SK On solid-state line in Korea.
Per the research and development license, SK On will license Solid Power’s solid-state cell designs and manufacturing processes in exchange for a total of $20 million from 2024 to 2027. The scope of the license will be limited to research and development activities, and SK On will not be able to use it for commercial cell production.
Per the line installation arrangement, Solid Power will design, procure and install a new cell manufacturing line at SK On’s Korea facility in exchange for an estimated amount of $22 million. Construction of the line will start in 2024 and is expected to finish in 2025.
Per the electrolyte supply agreement, initially, SK On will purchase Solid Power’s electrolyte to validate its new solid-state line. Post validation, SK On will be required to buy at least eight metric tons of electrolyte from Solid Power by 2030. Solid Power expects to receive a minimum of $10 million from these electrolyte sales.
Blue Bird received an order of 180 electric, zero-emission school buses from LAUSD. These orders will enable the school district to kick-start its transition to 100% electric student transportation, making significant strides toward its goal of reducing greenhouse gas emissions. LAUSD’s fleet already has 26 Blue Bird electric buses. It has now placed an order for 30 Vision and 150 All American state-of-the-art electric buses to expand the district’s zero-emission school bus fleet. LAUSD expects to receive delivery of the first buses in October 2024 and the rest of the order in early 2025.
On a single charge, both models have a range of up to 130 miles. Buses could take 3-8 hours to fully recharge, depending on LAUSD’s future charging infrastructure. The bi-directional charging technology of Blue Bird will allow LAUSD to sell surplus energy stored in school bus batteries back to electric power companies at a profit.
Blue Bird recently achieved a milestone by delivering its 1500th electric school bus. Its zero-emission vehicles are present across 41 states in the United States. The company is making massive investments to expand its electric school bus production capacity. It has an Electric Vehicle Build-up Center with an annual capacity of up to 5,000 electric school buses.
Per EVgo’s preliminary results for fiscal 2023, the throughput of the company was nearly 130 gigawatt-hours. Its network utilization increased to 19% in December 2023 from 15% in September 2023. At the end of 2023, EVGO had more than 3,500 stalls in operation or under construction, including EVgo eXtend stalls. It expects to meet or surpass the guidance range provided on Nov 8, 2023.
Under a simplified organizational structure, EVgo’s business development, marketing and technology functions will be streamlined and consolidated with operations under Dennis Kish, EVgo’s chief operating officer. With the organizational realignment, Kish has now been appointed as the company’s president.
Ivo Steklac, chief technology officer, and Tanvi Chaturvedi, chief revenue officer of EVgo, are set to leave the company. During the transition period, Steklac will serve as the strategic advisor. Steklac is expected to leave the company this year. Chaturvedi is expected to hold her title till the end of February 2024.
With the organizational realignment, EVGO plans to focus on expanding its core public charging network business, derive operational efficiencies, enhance its cost structure and expedite the achievement of its growth and profitability goals. Per Badar Khan, CEO of EVgo, the growth engine built by Kish has helped the company accelerate its deployments while making significant improvements to customers’ experiences. Kish’s track record makes him a suitable fit for the role of EVGO’s president.
Fisker is under scrutiny by U.S. regulators with the NHTSA opening an investigation into braking issues concerning its inaugural model, the 2023 Ocean crossover. The NHTSA is assessing nine complaints, one of which involves a crash and injury. The NHTSA's probe specifically focuses on a "partial loss of braking over low-traction surfaces" without warning the driver, resulting in a sudden increase in stopping distance. Complaints also mention challenges with Ocean's regenerative braking system. The investigation classifies Ocean's braking problems as a "preliminary evaluation," aiming to comprehensively understand the issue and assess potential safety risks.
The NHTSA probe comes at a challenging time for Fisker, which has been grappling with demand falling below expectations and struggling to achieve its internal sales targets. Fisker manufactured 10,142 Ocean crossovers for the global market in 2023, with production taking place at a contract manufacturing facility in Graz, Austria. However, actual deliveries amounted to only 4,700 units, primarily concentrated in Europe and the United States, which are its initial target markets.
Recently, the company announced a shift in its sales strategy. Originally opting for a direct-to-consumer model, Fisker decided to abandon this approach in the United States, favoring the recruitment of franchised dealers instead. This strategic adjustment is part of the company's plan to establish 50 dealerships in the United States and Canada, taking over sales and service operations from the direct-to-consumer model.
Price Performance
The following table shows the price movement of some of the major EV players over the last week and six-month period.
Image Source: Zacks Investment Research
What’s Next in the Space?
Stay tuned for announcements of upcoming EV models and any important updates from the red-hot industry. Investors are awaiting EV giant Tesla’s quarterly results, which are set to be released on Jan 24 after market close.
Unique Zacks Analysis of Your Chosen Ticker
Pick one free report - opportunity may be withdrawn at any time
Image: Bigstock
EV Roundup: STLA Unveils Electrified Platform, FSR Faces NHTSA Scrutiny & More
The electric vehicle (EV) revolution is speeding up, with traditional automakers leaving no stone unturned to establish a strong foothold in this domain. Italian American automaker Stellantis (STLA - Free Report) unveiled its latest electrified vehicle architecture, the STLA Large platform. This cutting-edge platform is poised to support a range of mid-size and executive segment vehicles across Stellantis' diverse sub-brands, revolutionizing the EV landscape.
Solid-state battery manufacturer Solid Power, Inc. (SLDP - Free Report) took its partnership with SK On, a leading global EV battery developer, a step further with three new contracts.
School bus manufacturer Blue Bird Corp (BLBD - Free Report) received a record order of electric school buses from the Los Angeles Unified School District (“LAUSD”).
EV charging company EVgo (EVGO - Free Report) announced certain preliminary results for fiscal 2023 along with a simplified organizational structure.
Finally, EV startup Fisker garnered attention for unfavorable reasons, experiencing a continuous decline in its stock price throughout last week. The stock price dropped below $1. This downturn occurred in the midst of a National Highway Traffic Safety Administration (NHTSA) probe over braking issues.
STLA, BLBD, SLDP, EVGO and FSR currently carry a Zacks Rank #3 (Hold) each. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Last Week’s Top Stories
Stellantis introduced an electrified vehicle platform known as STLA Large, which will serve as the backbone of the company’s next-generation electrical and software-defined vehicle technologies. The integration of features such as the STLA Brain, STLA SmartCockpit and STLA AutoDrive positions the platform at the forefront of innovation, ensuring that the vehicles are driven by cutting-edge technology.
The STLA Large platform boasts an unprecedented level of flexibility and adaptability. Initially focusing on full-size vehicles in the North American market, with flagship brands Dodge and Jeep leading the charge, the platform will eventually extend its reach to Alfa Romeo, Chrysler, and Maserati. Stellantis aims to launch eight vehicles based on the STLA Large platform between 2024 and 2026.
As one of the four global battery electric vehicle platforms outlined by Stellantis, including Small, Medium, Large and Frame, the STLA Large platform is engineered for extended life cycles. The interchangeability of crucial components, such as battery cell chemistry, electric drive modules, power inverters and software control, is designed to ensure longevity and sustainability.
Solid Power and SK On signed three new partnership agreements—a research and development license, a line installation arrangement and an electrolyte supply deal. The agreements can help Solid Power expand its footprint in South Korea and consolidate its existing relationship with SK On. The agreements will increase overall collaboration and development on Solid Power's solid-state cell technology. It will allow SK ON to use Solid Power’s cell technology for research and development, as well as to manufacture batteries on SK On solid-state line in Korea.
Per the research and development license, SK On will license Solid Power’s solid-state cell designs and manufacturing processes in exchange for a total of $20 million from 2024 to 2027. The scope of the license will be limited to research and development activities, and SK On will not be able to use it for commercial cell production.
Per the line installation arrangement, Solid Power will design, procure and install a new cell manufacturing line at SK On’s Korea facility in exchange for an estimated amount of $22 million. Construction of the line will start in 2024 and is expected to finish in 2025.
Per the electrolyte supply agreement, initially, SK On will purchase Solid Power’s electrolyte to validate its new solid-state line. Post validation, SK On will be required to buy at least eight metric tons of electrolyte from Solid Power by 2030. Solid Power expects to receive a minimum of $10 million from these electrolyte sales.
Blue Bird received an order of 180 electric, zero-emission school buses from LAUSD. These orders will enable the school district to kick-start its transition to 100% electric student transportation, making significant strides toward its goal of reducing greenhouse gas emissions. LAUSD’s fleet already has 26 Blue Bird electric buses. It has now placed an order for 30 Vision and 150 All American state-of-the-art electric buses to expand the district’s zero-emission school bus fleet. LAUSD expects to receive delivery of the first buses in October 2024 and the rest of the order in early 2025.
On a single charge, both models have a range of up to 130 miles. Buses could take 3-8 hours to fully recharge, depending on LAUSD’s future charging infrastructure. The bi-directional charging technology of Blue Bird will allow LAUSD to sell surplus energy stored in school bus batteries back to electric power companies at a profit.
Blue Bird recently achieved a milestone by delivering its 1500th electric school bus. Its zero-emission vehicles are present across 41 states in the United States. The company is making massive investments to expand its electric school bus production capacity. It has an Electric Vehicle Build-up Center with an annual capacity of up to 5,000 electric school buses.
Per EVgo’s preliminary results for fiscal 2023, the throughput of the company was nearly 130 gigawatt-hours. Its network utilization increased to 19% in December 2023 from 15% in September 2023. At the end of 2023, EVGO had more than 3,500 stalls in operation or under construction, including EVgo eXtend stalls. It expects to meet or surpass the guidance range provided on Nov 8, 2023.
Under a simplified organizational structure, EVgo’s business development, marketing and technology functions will be streamlined and consolidated with operations under Dennis Kish, EVgo’s chief operating officer. With the organizational realignment, Kish has now been appointed as the company’s president.
Ivo Steklac, chief technology officer, and Tanvi Chaturvedi, chief revenue officer of EVgo, are set to leave the company. During the transition period, Steklac will serve as the strategic advisor. Steklac is expected to leave the company this year. Chaturvedi is expected to hold her title till the end of February 2024.
With the organizational realignment, EVGO plans to focus on expanding its core public charging network business, derive operational efficiencies, enhance its cost structure and expedite the achievement of its growth and profitability goals. Per Badar Khan, CEO of EVgo, the growth engine built by Kish has helped the company accelerate its deployments while making significant improvements to customers’ experiences. Kish’s track record makes him a suitable fit for the role of EVGO’s president.
Fisker is under scrutiny by U.S. regulators with the NHTSA opening an investigation into braking issues concerning its inaugural model, the 2023 Ocean crossover. The NHTSA is assessing nine complaints, one of which involves a crash and injury. The NHTSA's probe specifically focuses on a "partial loss of braking over low-traction surfaces" without warning the driver, resulting in a sudden increase in stopping distance. Complaints also mention challenges with Ocean's regenerative braking system. The investigation classifies Ocean's braking problems as a "preliminary evaluation," aiming to comprehensively understand the issue and assess potential safety risks.
The NHTSA probe comes at a challenging time for Fisker, which has been grappling with demand falling below expectations and struggling to achieve its internal sales targets. Fisker manufactured 10,142 Ocean crossovers for the global market in 2023, with production taking place at a contract manufacturing facility in Graz, Austria. However, actual deliveries amounted to only 4,700 units, primarily concentrated in Europe and the United States, which are its initial target markets.
Recently, the company announced a shift in its sales strategy. Originally opting for a direct-to-consumer model, Fisker decided to abandon this approach in the United States, favoring the recruitment of franchised dealers instead. This strategic adjustment is part of the company's plan to establish 50 dealerships in the United States and Canada, taking over sales and service operations from the direct-to-consumer model.
Price Performance
The following table shows the price movement of some of the major EV players over the last week and six-month period.
Image Source: Zacks Investment Research
What’s Next in the Space?
Stay tuned for announcements of upcoming EV models and any important updates from the red-hot industry. Investors are awaiting EV giant Tesla’s quarterly results, which are set to be released on Jan 24 after market close.