The stock did experience a boost last Thursday following a report suggesting the company is planning to set up a manufacturing plant in India. However, the selloff resumed in full force on Monday, with shares trading lower by over 21%. Based on an average of those multiples, Forbes estimates Pham’s stake in VinFast to be worth about $1.6 billion and his total net worth at $6 billion, still enough to rank him as No. 445 richest person in the world on Thursday after markets closed. Meanwhile, VinFast’s shares have tumbled nearly 60% since Monday. Even with that drop, the EV maker has a market capitalization of $80.6 billion, with shares trading at 127 times 2022 revenues.
- The company claimed that it has aggregated talent from multiple established companies and is sourcing European design, engineering, and production technology partners.
- By comparison, Tesla delivered more than 889,000 vehicles in the same period.
- VinFast opened six showrooms in California in July, including a flagship store in upmarket Santa Monica as it seeks to compete in a US market dominated by Tesla.
- That’s because the hole for the belts is probably three times as big as it needs to be, which is one reason that rough roads make it sound like you’re driving inside a tom drum—the body structure is right there, with no insulation.
- By July, Black Spade had redeemed over 80% of its shares and by August, 92% of Black Spade’s shareholders had cashed out entirely—the opposite of a vote of confidence.
Analysts also noted that VinFast’s models are not competitively priced. For example, VinFast’s VF9 model is priced from $83,000 whereas the Tesla Model X is priced from $68,590 after federal tax credit and gas savings. However, its U.S. expansion has faced hurdles including delayed deliveries of the VF8 to its first customers and the opening of its North Carolina plant postponed until 2025.
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VinFast told CNBC that « experts have carefully researched and priced our vehicles properly. » It also said it does not consider some of these mentioned vehicles as their competitors, without specifying models. « [This suggests] that it may not as easy as said to increase the sales volume in the U.S. and other foreign markets given more established EV models are selling for a lower price, » said Samsudeen. Vietnamese electric vehicle maker VinFast’s ambitious plan to deliver as many as 50,000 vehicles this year is « unrealistic, » according to one analyst. Reuters, the news and media division of Thomson Reuters, is the world’s largest multimedia news provider, reaching billions of people worldwide every day. Reuters provides business, financial, national and international news to professionals via desktop terminals, the world’s media organizations, industry events and directly to consumers.
’” Even with too much plastic, the interior is comfortable and brightly lit by a large sunroof. Cargo room seems on par with similarly sized vehicles, and there’s a small frunk in addition to the rear hatch. But the reviews we’ve read have been perhaps the most brutal we’ve seen for a modern car.
- However, its U.S. expansion has faced hurdles including delayed deliveries of the VF8 to its first customers and the opening of its North Carolina plant postponed until 2025.
- If that naming convention sounds so painfully obvious that it doesn’t bear explaining, somebody please tell Infiniti to crib some notes.
- The model received negative reviews in the U.S. over its quality and the company voluntarily recalled the first batch of 999 cars to fix a software glitch.
- VinFast, which has yet to make a profit, began trading on the Nasdaq on Aug. 15.
- Only around one percent of VinFast shares are listed for trading, with 99 percent held by Pham Nhat Vuong, the owner of parent group Vingroup and Vietnam’s richest man.
The « FAST » in the VinFast name is an acronym in Vietnamese, representing the stated goals of the company, but it’s not lost on us, or the company’s founders, that in English, it means something done quickly. The new automotive brand was announced in the fall how to buy a capybara of 2017, and barely a year later VinFast had three gasoline-powered cars available in Vietnam, and an electric scooter factory. By the summer of 2019 the company had completed an 827-acre automotive facility in Hai Phong and was delivering its first cars.
Nestle purchased the brand, and Pham moved back to his homeland, where he began a chain of resorts and became Vietnam’s first billionaire. Personal success might be enough for some, but he wants to make Vietnam a player on the world stage. We get a whirlwind tour, and day trading charts a tiny test drive, of the Vietnamese startup automaker’s first global EV offering. But as of last month only 350 cars—all of them VF8s—were currently on the road. That essentially means there aren’t enough investors to determine a fair market value of the company.
The 2023 VF8
VinFast broke ground on its North Carolina plant to build EVs in America. Per the website, the company has opened up 13 showrooms — all in California. Initial plans called for Tesla-like direct-to-consumer sales, but VinFast is open to working with dealerships. VinFast also plans delivery of the first 3,000 VF8 cars for European customers this year, Reuters reported on Thursday, at a time when the European Union is considering imposing tariffs on its Chinese rivals.
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As its ICE cars were gaining traction in its home market, VinFast founder Pham Nhat Vuong announced in 2021 that the company would pivot to EVs. By the end of the year, it was selling electric scooters, electric buses, and the VF e34, a small electric SUV about the size of a Toyota C-HR, with promises of two larger models to come, the VF8 and the VF9. The mid-size five-seat VF8 and seven-seat VF9 will not only come to the U.S. market but will be built here, in a new 2000-acre factory in North Carolina. The goal, said Vuong, is to make VinFast a recognizable name worldwide and, you guessed it, to do it fast.
Sept 21 (Reuters) – Vietnamese electric-vehicle maker VinFast said on Thursday its revenue more than doubled in the second quarter on higher deliveries to domestic customers, in its first results since its market debut last month. A new electric vehicle company is making waves on Wall Street, but not because of the cars it’s selling. In July, VinFast broke ground in North Carolina at what will be its first EV factory outside of Vietnam. The company expects to start production in the U.S. by 2025 with an estimated annual production capacity of 150,000 units. Founded in 1993, The Motley Fool is a financial services company dedicated to making the world smarter, happier, and richer.
At the end of the factory tour, we were given the opportunity to briefly get behind the wheel of a few VF8 prototypes. As they were assembled from test mules for our visit, and each machine had development quirks obvious even on our two-block test drive. One had its seat controls reversed, as we discovered when we went to slide it forward and smashed the knees of the guy in the back. Most of the promised driver’s what is quantitative tightening investopedia aids, such as remote summon and self-parking, were non-functional. With 349 horsepower and 369 pound-feet of torque, the Eco model delivered adequate acceleration, and the 402-hp Plus trim with 457 pound-feet of torque was downright quick. There was only one turn on our drive, and we took it fast enough to dump the engineer’s notes into the passenger footwell, so apologies to him, but steering worked.
Its share price soared more than 250% on the first day of trading, but has since dropped more than 60%. Shares of Vingroup, one of the largest conglomerates in Vietnam, closed at 45,200 Vietnamese dong ($1.85) on Wednesday, its lowest level since November 2017, according to Refinitiv data. VinFast said it expects to deliver 40,000 to 50,000 vehicles in 2023 despite a weak global economy. That’s almost seven times the 7,400 EVs it sold last year, all in Vietnam. Low-float stocks like VinFast are susceptible to high volatility and jaw-dropping moves, both to the upside and the downside.
What’s Going On With VinFast Stock Today?
Additionally, Tesla passenger vehicles qualify for a $7,500 federal tax credit in the U.S., while VinFast vehicles are currently not eligible as they are not built in the U.S. VinFast said its U.S. sales are improving, adding that « with the upcoming addition of dealers, we will likely exceed our plan for the year. » VinFast has been ramping up its expansion outside of Vietnam this year, in a bid to compete with automakers globally. « We are going to Indonesia with our battery company to get advantage of the battery ecosystem there, » Thuy said on the call, adding the Indonesian government was open and offered tax benefits. To accelerate sales, Thuy said VinFast was in talks with several dealers in the U.S. and would announce the dealership soon.
Explore the VinFast Family
The model received negative reviews in the U.S. over its quality and the company voluntarily recalled the first batch of 999 cars to fix a software glitch. They have lost about 54% of their value since the start of trading on Aug. 15 following the merger with a blank-check company. One of the biggest reasons why VinFast stock surged in the past few days was a crucial update about the range ratings for its new all-electric, full-size SUV, VF 9.
By comparison, Tesla delivered 1.3 million cars in 2022 and Toyota sold 10.5 million. In May, VinFast recalled all of the cars it had shipped to the U.S. over a screen failure that saw the display go blank. The carmaker broke ground on its first American factory in North Carolina last month with plans to begin production at the $4 billion facility in 2025—as of June, only 137 electric vehicles by VinFast were registered on U.S. roads. When the newly-merged SPAC shares began trading, Forbes initially discounted the value of Pham’s shares by 30% to account for the low float.
We drove the $54,200 Plus City Edition, a trim specific to the first 999 units to arrive to the U.S. and is the same as the Plus but only available via lease in California starting at $528 a month for three years and after a $5090 down payment. To make things confusing, the initial run of City Editions are equipped with a Samsung-sourced 82.0-kWh battery that the EPA says should provide 207 miles of range for the Eco and 191 miles for the Plus. After the City Editions are out the door, VinFast will make the switch to a 87.7-kWh CATL pack that will up the range to an EPA-estimated 264 miles for the Eco and 243 for the Plus, but those numbers may understate the actual range. The Ford Bronco–sized VF8 is the smaller of the two VinFast models that will come to the US and is farther along in development than the three-row VF9.
