Fisker Inc.

Fisker Inc. (NYSE: FSR) is developing a technology-enabled, asset-light business model for the automobile industry. The company is primarily concerned with car development, sales, and service. The company works on electric car design and development. Fisker Flexible Platform Agnostic Design (FF-PAD) is a process that allows a vehicle's design and development to be adapted to any given electric vehicle platform in specified segment size.

Key Highlights

• The company reported revenue of USD 106 thousand in FY21; however, it didn’t reported any revenue in FY20.
• FSR net loss expanded to USD 471.34 million in FY21 from USD 130.00 million in FY20.
• As of December 31, 2021, the company had cash and cash equivalents of USD 1.20 billion and total debt of USD 659.35 million.
• Significantly low ROE of -55.2% in FY21 vs. industry median of 8.9%.
• Stock is currently trading between its crucial short-term (50-day) and long-term (200-day) SMA support levels.
• Stock is currently leaning towards the lower end of the 52-week range of USD 9.61 to USD 23.75.

Conclusion: Considering the company’s lackluster financials, expansion of net losses, technical indicators, and associated risks. We recommend a "Avoid" rating on the stock at the closing price of USD 12.42, down 2.13%, as of April 14, 2022.

Technical Price Chart (April 14, 2022). Source: REFINITIV, Analysis by Kalkine Group

*The reference data in this report has been partly sourced from REFINITIV.