I have been looking at EV stocks since the infrastructure bill (and Beaker’s DD post) and saw that XOS has Q3 earnings on Thursday and that the current price is near the 52 week low. Looks like they went through SPAC process with NextGen and changed their name to Xos, Inc. The combined company began trading on the Nasdaq Global Exchange under the ticker “XOS”. The company is based out of Los Angeles and has manufacturing facilities there, Tennessee, and Mexico. In August 2021 FedEx Ground Operators Ordered 120 Xos Trucks For 2021 and 2022 Delivery.
I wanted to get this up on the forum to discuss and keep off trading floor. Is this a garbage company to stay away from or is the infrastructure bill and upcoming earnings a catalyst that could see the share price jump?
Apologies, I am fairly new to trading and would like to hear from some more experienced traders on this company.
I don’t have a position currently but considering opening a small position sometime before earnings.
Earnings plays are always risky. But this chart is interesting, could possibly be forming a double bottom and might see some significant movement up from here. Double bottom to me looks like a W and right now the W looks like this \ ^ so that / to fully form the W could be significant.
Since this is your first DD and you’re learning, try looking into what caused that first big red candle on September 24 that led to that downtrend. Then look into what caused that fairly decent two green candles starting on October 28.
On the same day a news article ran that introduced the XOS Hub, a mobile charging solution which is essentially a trailer than can charge up to five vehicle simultaneously. Here are links to the press releases and news articles:
It appears the reason for the hard dip on Sept. 24th was insider selling. The CEO acquired 24,253,816 shares and sold 1 million shares at a price of $10. It was called out by the Tradytics bot in the #ai-big-trading-signals channel:
Followed the next day by an article published that award the company a “Timmy” which I see is an award given to tech start ups with less than 500 employees and have been in operation for less than 10 years that produce a product that could disrupt the market.
That was pretty much the peak of the latest uptrend and the stock has been trending down since then as we approach the earnings announcement today.
On October 13, 2021 after that last large dip it looks like the price hit some solid resistance around the $4.80 to $4.90 mark which then seemed to be acting as support until yesterday (Nov. 10th) when it finally broke that support and hit $4.70. Given how much everything dipped yesterday I am not sure if it holding $4.70 is bearish or bullish leading into earnings. I will be watching it today for sure. If you’ve read this far I appreciate the time you took to do so and definitely appreciate any feedback, criticism.
Not the best earnings report. Xos on Thursday reported a Q3 loss of $0.08 per diluted share, wider than a loss of $0.05 a year ago. Analysts polled by Capital IQ projected a GAAP loss of $0.07. Revenue dropped to $357,000 from $1.1 million. The company expects revenue of $1.7 million to $3 million for Q4 and $3.5 million to $4.7 million for full-year 2021, versus the Street views of $6.9 million and $12 million, respectively. They reported missing some deliveries dues to supply chain issues. Announced the Lyra Series™ battery system. This article does a better job summarizing than I could do:
I held my position yesterday as it slightly ran up and touched just over $5 midday and then just before close. In the AH market it touched $5 again before the earnings call started and then stayed in the $4.90 area. In the PM today the stock dipped hard at open then bounced back to the $4.70 support before settling in the $4.50 area. $4.50 now appears to be the new support. I am still holding my small position (in my IRA) and continue to think the company could be a good investment for the long term. I should have sold when it hit $4.95 at open today or later at $4.70 and then bought back in at $4.50. Live and learn. I will be watching this one on Monday when the Infrastructure bill is signed to see if it moves up with other EV stocks.
