S&P 500   5,123.41
DOW   37,983.24
QQQ   438.27
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Closing prices for crude oil, gold and other commodities
JPMorgan Chase, Advanced Micro Devices fall; Progressive, State Street rise, 4/12/2024
How major US stock indexes fared Friday, 4/12/2024
US consumer sentiment falls slightly as outlook for inflation worsens
Faced with possibly paying for news, Google removes links to California news sites for some users
S&P 500   5,123.41
DOW   37,983.24
QQQ   438.27
Breakout Alert: Coinbase's Consolidation Is About To End
You Can Follow BlackRock’s Market View for Your Money
Closing prices for crude oil, gold and other commodities
JPMorgan Chase, Advanced Micro Devices fall; Progressive, State Street rise, 4/12/2024
How major US stock indexes fared Friday, 4/12/2024
US consumer sentiment falls slightly as outlook for inflation worsens
Faced with possibly paying for news, Google removes links to California news sites for some users
S&P 500   5,123.41
DOW   37,983.24
QQQ   438.27
Breakout Alert: Coinbase's Consolidation Is About To End
You Can Follow BlackRock’s Market View for Your Money
Closing prices for crude oil, gold and other commodities
JPMorgan Chase, Advanced Micro Devices fall; Progressive, State Street rise, 4/12/2024
How major US stock indexes fared Friday, 4/12/2024
US consumer sentiment falls slightly as outlook for inflation worsens
Faced with possibly paying for news, Google removes links to California news sites for some users
S&P 500   5,123.41
DOW   37,983.24
QQQ   438.27
Breakout Alert: Coinbase's Consolidation Is About To End
You Can Follow BlackRock’s Market View for Your Money
Closing prices for crude oil, gold and other commodities
JPMorgan Chase, Advanced Micro Devices fall; Progressive, State Street rise, 4/12/2024
How major US stock indexes fared Friday, 4/12/2024
US consumer sentiment falls slightly as outlook for inflation worsens
Faced with possibly paying for news, Google removes links to California news sites for some users

Mullen Automotive Stock Gains Momentum On Positive News

Key Points

  • Mullen Automotive shoots higher on good news yet again. 
  • The bears are still out in force but there are signs they are weakening. 
  • If this stock gets about $0.40 it could move up to $0.60 PDQ. 
  • 5 stocks we like better than Mullen Automotive

Mullen Automotive NASDAQ: MULN did it again. The company released more good news that has the market moving higher. The latest news in a string of positive events that could launch this company to success is a new pilot program at LAX. The program collaborates with Menzies and builds on the partnership formed with Loop Capital last fall. Menzies is the world’s largest airport services company, operating at 250 airports in 58 countries. Its fleet comprises 8,000 vehicles and it wants to upgrade to electric as part of its ambitious plan to reach net neutrality by 2033. 

What this means for Mullen and Loop is a 60-day opportunity to prove their value. Mullen will supply class-1 EV cargo test vans that will be evaluated in multiple use cases across LAX. Loop will provide the EV-charging infrastructure and fleet management software. The combination should enable the active use of EVs in virtually all scenarios, including recharging and maintenance. Among Loop’s offerings is cloud-based EVFMaaS or EV fleet management as a service which is a budding and potentially lucrative new industry. 

“Collaborating with suppliers, airports, and our airline customers is vital for Menzies to achieve its sustainability goals. We have committed to switching to electric vehicles wherever possible to reduce our carbon emissions; however, charging infrastructure can be a barrier, so it’s great to work with Mullen and Loop to pilot a solution at LAX. Early feedback is positive, and I’m looking forward to seeing the results from this collaboration,” said John Redmond, executive vice president of Americas, Menzies Aviation.

What Does This Mean For Mullen Shareholders? 

So, what does this mean for Mullen shareholders? Assuming the pilot program is successful, it could result in another order for several thousand EV vehicles. That would be yet another resounding vote of confidence in the company and one that proves demand. In this scenario, Mullen Automotive may find it increasingly easier to find willing partners with the cash to ensure operations and production gets off to a good start. In this light, as speculative as it may be, the company may not have to lean into capital-raising activities like a dilutive share sale. It might also mean the share price would move higher, which is why the stock is moving higher now. 


The short interest in Mullen Automotive has ticked lower over the last week or so, but it remains very high at 47% and this could be driving share prices higher. The risk in the news trend is that Mullen will succeed, if not with Menzies then with one of its other ventures and this may have some short-sellers getting nervous. Penny stocks like this one can see wicked-fast price swings that take action up or down by high-double to triple digits with no apparent cause, and there are a growing number of catalysts for this one. 

The recent string of new hires is consistent with the idea production will start soon. The company is expected to begin delivering the first of the 6,000 vans ordered by the Randy Marion Group by the end of the quarter so the expectations are high. This, along with the first sales of the I-Go in Europe, would be another mover for the stock and one the short-sellers could not ignore. 

The Technical Outlook: Mullen Is A Coiled Spring 

The price action over the last few quarters has Mullen Automotive wound up like a tightly coiled spring. The market has been bouncing between downward-sloping resistance and upward-sloping support, which is coming to a head very soon. The latest action has the price moving upward toward the top of the range, but short-sellers may meet it. If so, the wind-up will continue until the next news is released. If not, this stock may keep increasing, and the next target for resistance is near the $0.60 level or 50% above the current action. 

Mullen Automotive Stock Gains Momentum Mullen Automotive News Trends Gains Momentum 

Should you invest $1,000 in Mullen Automotive right now?

Before you consider Mullen Automotive, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Mullen Automotive wasn't on the list.

While Mullen Automotive currently has a "hold" rating among analysts, top-rated analysts believe these five stocks are better buys.

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Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
Mullen Automotive (MULN)
0 of 5 stars
$3.77-4.4%N/AN/AN/A
Compare These Stocks  Add These Stocks to My Watchlist 

Thomas Hughes

About Thomas Hughes

  • tmhughes.writeon@gmail.com

Contributing Author

Technical and Fundamental Analysis

Experience

Thomas Hughes has been a contributing writer for MarketBeat since 2019.

Areas of Expertise

Technical analysis, the S&P 500; retail, consumer, consumer staples, dividends, high-yield, small caps, technology, economic data, oil, cryptocurrencies

Education

Associate of Arts in Culinary Technology

Past Experience

Market watcher, trader and investor for numerous websites. Founded Passive Market Intelligence LLC to provide market research insights. 


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