Shares of electric vehicle (EV) company Arrival (ARVL) have dipped in price over the past few months. However, is it wise to buy the stock now based on its unique products, technologies, and platforms? Let’s find out.London-based electric vehicles (EV) manufacturer Arrival (ARVL) recently announced a Service Network Program that will use its digital Service Platform to train and certify any technician to service its vehicles. However, the shares of ARVL declined 25% in price on November 9, 2021, after the company announced a weak outlook for 2022. In addition, the company said that its previous long-term forecasts from the merger should no longer be relied upon. It is also selling equity and debt to raise funds.
The stock has declined 39.1% in price over the past month to close yesterday’s trading session at $8.93. Also, it is currently trading 76% below its all-time high of $37.18, which it hit on December 7, 2020.
Moreover, the entire electric vehicle industry is facing severe semiconductor chip and labor shortages, which could hamper the company’s already delayed production plans. And rising competition in the EV space along with ARVL’s weak financials so far make its near-term prospects bleak.
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