Polestar Earnings & Production
Polestar, an electric vehicle (EV) maker, announced on Thursday that it posted a smaller quarterly loss, maintained its production outlook for 2023, and decided not to engage in price wars even though the demand for EVs has weakened. While some carmakers have followed Tesla’s lead and reduced EV prices, Polestar has no intention of doing so and is taking the same stance as former parent company Volvo Cars. Polestar’s CEO, Thomas Ingenlath, stated that the company is not interested in engaging in a price war, and that it aims to become a premium sports car company rather than trying to produce 20 million cars per year like Tesla.
Despite a Tesla-ignited price war and supply chain bottlenecks, Polestar reaffirmed its 2023 production outlook of 80,000 cars, up from the roughly 51,000 cars it delivered in 2022. Ingenlath stated that he expects the supply chain issues that have hampered global auto production to ease in 2023, and that 2022 has left the carmaker with a strong order book.
Polestar’s Q4 2022 operating loss was $204.7 million, down from $337.3 million a year ago. The company reported a gross profit of $61.9 million, compared to a loss of $0.2 million in the same quarter of 2021. The U.S.-listed company expects its gross profit for 2023 to be broadly in line with the $119.4 million it reported for 2022.
PSNY Stock Price Forecast & Analysis
According to the analysis of three analysts, the average target price for Polestar Automotive Holding UK PLC Class A ADS stock over the next 12 months is USD 9.50. This suggests a potential upside of about 88% from its last closing price of USD 5.05. However, Stock Target Advisor’s own analysis of Polestar Automotive Holding UK PLC Class A ADS is Slightly Bearish, based on 2 positive signals and 3 negative signals.
Polestar Automotive Holding UK PLC Class A ADS’s average analyst rating is Hold, which implies that the stock is expected to perform in line with the market. The recent performance of the stock has been negative, with a 3.99% decline over the past week and an 11.71% decline over the past month. However, the stock has remained unchanged over the last year.