Accolades From a Leading Auto Site Aren’t Helping MULN Stock
Source: Ringo Chiu / Shutterstock
Mullen Automotive (NASDAQ:MULN) recently shared that it was named an electric vehicle (EV) startup “to watch out for.” However, this has little to do with the MULN stock price. Many investors might have learned by now to shrug off such marketing messages as little more than minor news.
Most accolades don’t amount to much over the long term. It’s hard to suggest that being named to an auto website list will have much of a positive effect for a sustained period of time.
Case in point: The Lucid (NASDAQ:LCID) Air won the 2022 MotorTrend Car of the Year award on Nov. 15 of last year. That coincided with LCID stock prices spiking 25% over 24 hours to $55. But it didn’t last. Lucid’s share price has sloughed off more than 60% of its value since.
True, they are different companies and Lucid’s problems aren’t the same as those Mullen Automotive faces. But it has to be noted that MotorTrend’s Car of the Year award is major.
Mullen has been named on a few websites. The website that gave the company its most recent accolades is a much less influential publication than MotorTrend, for one. Further, that article was published back at the very end of 2021.
Basically, the article that Mullen Automotive published on its investor relations site on April 18 was a compilation of shout outs from websites and media sources. All of them occurred in February or earlier.
In short, there’s not much to note here. There certainly isn’t anything in the investor relations posting that should persuade investors to rush out and buy MULN stock. In other words, Mullen Automotive looks no more attractive than it did before. And with prices heading downward over the last month, now is no time to be particularly optimistic.
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On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.