drandy
2022-07-06

$Polestar Automotive(PSNY)$for those of us who wonder why isn't the stock price moving & then staying up, one possible reason that was already stated is the (relatively small) trading volume, including who were the likely ones to be engaging in those trades (refer my previous post).

So why is PSNY trading volume low, especially when compared to similar stocks like LCID, RIVN, NIO, etc.? This is because PSNY has not yet been covered by analysts, particularly since its official inception into NASDAQ on Jun 24. Normally, stocks would see an increase in trading volume after coverage by analysts - the higher the numbers & reputation of those analysts, the more likely we'll see a bump (& subsequent maintenance) in trading volume.

If the analysts' coverage for PSNY is positive, then the potential bump in trading volume will likely be in a corresponding positive direction, and vice versa.

I'm putting up this post as I was asked about my price target for PSNY @XantheJuliana - honestly, my guess is as good as anyone's atm cos there's too much uncertainty rn to have one; I had thought we'd see PSNY go up to 15 on merger & then see some pull back to about 11-12 as base after.  But the situation panned out quite differently. So personally, I'd wait for analysts' coverage on PSNY and see how things move from there. Patience is my ally now & I'm holding.

This is NOT financial advice but my personal opinion only based on my own observation of the stock market & PSNY. Please always do your own DD & make up your own minds when investing your own money. I'm just hoping that sharing my thoughts would help others like me stay sane in these insane times.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • LeilaLynch
    2022-07-06
    LeilaLynch
    Polestar stock looks to be worth watching. As with all newly public companies, most investors should wait to see how it performs in at least its first few quarters as a publicly traded entity to make an investing decision
    • Azerone.Kee: 
      Yes, it's good to be carefully. although a company must perform well before it goes listed, not all listed company are favored by investors.
  • ChristKitto
    2022-07-06
    ChristKitto
    I remain bullish on Polestar, as the business model sounds solid and the products are great. I believe it will yield better returns.
  • CatherineGunter
    2022-07-06
    CatherineGunter
    The newly public electric vehicle maker has several competitive advantages over others in its industry. Should Tesla Be Concerned About Polestar?
  • DanZillaXD
    2022-07-06
    DanZillaXD
    Polestar will be profitable in the future
  • Frosty4ever
    2022-07-08
    Frosty4ever
    polestar is ahead of lucid, rivian etc with their higher production.  with their pedigree good chance to continuing to do that.
  • BellaFaraday
    2022-07-07
    BellaFaraday
    Thanks for your good post.
Leave a comment