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@jingli:The large up and down swings are due to a couple of factors. First and foremost, this is a a startup company with one product. It is risky and therefore will have high volatility. This isn't GM. Thus, fluctuations that would be small for larger established company are much larger for a startup.Second, FFIE just got more investment. While counter-intuitive this can actually cause a dive. Why? Because people bought into the company expecting more investment, so when the investment actually arrives the stock price has already factored this in. It is sort of like how a stock might rise before a dividend is issued and falls off afterwards. It doesn't mean that the company is less healthy, it just means that a bunch of investors jumped aboard the ship hoping to make a quick buck and then get out. If you look at the charts, this is what happened; a rise before the investment and then a sell off.$Faraday Future Intelligent Electric Inc.(FFIE)$
The large up and down swings are due to a couple of factors. First and foremost, this is a a startup company with one product. It is risky and therefore will have high volatility. This isn't GM. Thus, fluctuations that would be small for larger established company are much larger for a startup.Second, FFIE just got more investment. While counter-intuitive this can actually cause a dive. Why? Because people bought into the company expecting more investment, so when the investment actually arrives the stock price has already factored this in. It is sort of like how a stock might rise before a dividend is issued and falls off afterwards. It doesn't mean that the company is less healthy, it just means that a bunch of investors jumped aboard the ship hoping to make a quick buck and then get out. If you look at the charts, this is what happened; a rise before the investment and then a sell off.$Faraday Future Intelligent Electric Inc.(FFIE)$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.