Fisker Stock (NYSE:FSR)
Although the main U.S. markets have gained around 3% this week, one EV stock has much outperformed those gains. Fisker (NYSE:FSR) stock has risen sharply this week as the company nears manufacturing its first car. By Friday morning, Fisker stock had increased roughly 14% from the previous Friday’s closing, as reported by statistics compiled by S&P Global Market Intelligence.
What’s the Reason?
The stock price continued to fall despite the lack of significant corporate updates this week. Fisker stock has dropped by more than 25% in the previous three months, so even this week’s double-digit rise doesn’t make up for it.
The EV startup’s market valuation dropped below $2 billion for the first time since it went public. Some investors may have seen a bottom at that point, and the firm is poised to see significant growth due to multiple upcoming catalysts.
So What Happens Now?
The Ocean SUV from Fisker will enter mass production next month. Magna Steyr, a subsidiary of Magna International and Fisker’s manufacturing partner, will first produce the car in Europe. The over one-hundred prototypes already in existence serve as testing guinea pigs, marketing samples, service examples, and manufacturing education tools. On November 17th, commercial manufacturing is slated to start.
Foxconn and Fisker have teamed together to produce the company’s second model in Ohio. The PEAR, which costs less than $30,000, will be manufactured there in 2024. Since it will be manufactured in North America, the car should be eligible for Inflation Reduction Act (IRA) tax credits.
Although buyers of the $37,500 Ocean would qualify based on price alone, they would be unable to take advantage of the new law’s $7,500 tax credit since the Ocean is manufactured in Europe. Some people who made reservations before the IRA was signed into law will still be eligible for the reimbursement since Fisker worked with consumers to change their deposits to nonrefundable orders.
On August 1st, Fisker said that it had received almost 56,000 bookings for the Ocean. On November 2nd, the Fisker stock will provide shareholders an update by reporting financial results for the third quarter.
Featured Image- Megapixl @ Brodogg1313
Author Shariq Khan 
