Canoo Stock (GOEV) Get’s A New Price Forecast – Analyst Cuts, But Remains Bullish

H.C. Wainwright has lowered its price target for Canoo stock (NASDAQ: GOEV) to $4, now anticipating the company's initial production phase to commence in the early days of 2025 rather than the second half of 2024 as previously projected.

Despite this revision, the firm retains a Buy rating on the automaker's shares and remains optimistic about the trajectory the firm is on. GOEV stock price has gained a little over 5% in the trading day so far, having opened on a high after earnings dropped.

Canoo's stock gapped up on open, starting the day at $1.50 after closing yesterday's session at $1.41. The current trading price keeps the company closer to its 52-week low than the high, with the range spanning from $1.22 to $15.96, underlining the volatility and the forward-looking nature of the EV market segment.

Today's rebound does need to be taken with a little perspective, as over the past month the Canoo share price remains down 44%.

Despite the setback in production timelines, vehicle deliveries to customers remain a key catalyst for Canoo's stock performance. The burgeoning electric vehicle market retains its allure amongst investors, with many looking to companies like Canoo as potential leaders in an increasingly eco-conscious consumer base.

Canoo's multi-purpose platform architecture and plans for a line-up of versatile electric vehicles, including lifestyle and delivery vehicles, are geared to meet this growing demand.

Headquartered in Torrance, California, Canoo operates within the Consumer Cyclical sector focusing on the Auto Manufacturers industry. The company's strategy involves leveraging its proprietary electric drivetrain and battery systems to develop electric vehicles.

With a current market capitalization of approximately $110 million, Canoo delivered revenues for the quarter of $605,000 which was below what markets had estimated ($1.56million). Despite the miss on earnings, EPS was above consensus, with a loss of $0.61 per share against expectations of a $1.27 per share loss.

The revision of Canoo's price target by H.C. Wainwright to $4 remains very bullish, when considering the current price action is taking place close to $1.50. The firm clearly still perceives significant potential in the electric vehicle company, looking beyond the short-term hurdles.