Arcimoto Inc. (FUV) stock remained much volatile this month as it remain fluctuating between $7.93 and $17.01 in last two weeks. In Friday trading, the stock settled at a loss of -2.31 % to $13.55.
A strong increase in stocks of the electric transport manufacturer was seen after the company released quarterly report on November 16. The company is attracted by the increase in the shares price, which has increased by more than 740% since beginning of the year.
The Arcimoto report was not negative, but the stock’s price initially dropped after posting quarterly results as the company’s loss hit $4.6 million compared to $4 million a year ago. The stocks soared by about 30 percent afterwards in that week but have lost 13.51% over the following week. Company’s business suffered from the facility shutdowns against the backdrop of COVID-19, but still plans to increase production. Within two years, Arcimoto plans to increase production to 50,000 units. This is an ambitious strategy, given that the company delivered just 31 vehicles to clients in September 2020.
Despite the drop of FUV stock in the past week, investors are still optimistic about the prospects for the types of vehicles produced by Arcimoto. The company has designed and manufactures a small electrically powered multi-purpose tricycle frame. Currently three versions are available for various purposes including leisure (for walking and personal ownership), a vehicle for delivering small loads, and transport for rescuers.
In overcrowded places like town centers, parks or in large private estates and fields, the smaller size enables the users to use company’s tricycles. Unlike their petrol counterparts, Arcimoto vehicles have a lower running cost and at the same time, have ample power reserve to complete the tasks set. In an urban setup, a deliverer can travel more than 160 km on a single charge.
Such transport can be an effective option for small companies, as well as for large ready-made food distribution networks and other ’emergency’ products. Despite loss in past week, Arcimoto Inc. (FUV) stock performance is still in green with triple-digit growth for periods more than a month to 52-week.