- Mullen stock falls sharply at end of week.
- Volume is tapering off for MULN over past 10 sessions.
- Mullen to hold event in Mississippi for first production of Mullen Three.
- Bollinger Motors is also releasing its B4 cab chassis.
Mullen Automotive (MULN) stock is selling off by 6% on Friday, despite a generally advancing market. The NASDAQ, S&P 500 and Dow Jones are all up between 0.2% and 0.3% starting the final session of the week.
MULN is set to render its least volatile week in three months if Friday is a low-volume, consolidating session. MULN stock has dropped 4.2% this week through Thursday, which would be its calmest week since mid-April.
One of the most popular penny stocks among traders, MULN typically trades directionally at least 10% over the course of a week and often more than 20%. Barchart.com, for instance, estimates the MULN beta at 2.17, meaning that it is more than twice as volatile as the overall market.
Though the week has not finished yet, volume thus far is below the past five weeks. Trading volume has been tapering off since the first full week of July.
Mullen stock news: EV semi truck cabs rule the summer
On Thursday, Mullen announced a date for a launch event held to celebrate the unveiling of its Mullen Three cab chassis electric semi truck. The event will be held on August 24 and will feature factory tours, executive presentations and vehicle demonstrations.
The event will take place at Mullen’s 120,000-square-foot Tunica, Mississippi plant, where it builds both the Mullen Three and its Mullen One electric delivery van.
“We are now in the final stages of vehicle production readiness and look forward to customer deliveries,” said CEO David Michery. “We are excited to open up the Tunica assembly plant for tours and vehicle demonstrations.”
The Mullen Three is a class 3 commercial vehicle that comes with an 11,000 gross vehicle weight rating and 130 miles of battery range. This truck can pull bodies up to 14 feet long that weigh over 5,800 lbs. The semi features a tight turning diameter of 38 feet.
Additionally, on Thursday, Mullen’s majority-owned subsidiary Bollinger Motors announced that it had begun pilot production of its class 4 electric chassis cab. The vehicle would compete with the Mullen Three but beats it on most metrics. The B4, as it’s called, can carry a payload of 7,080 lbs and has a battery range of 185 miles.
Bollinger Motors will complete the first five vehicles by the end of August and a total of 20 units by the end of the third quarter. The company is building these vehicles in partnership with Roush Industries at its plant in Livonia, Michigan.
Bollinger B4 Chassis Cab
Mullen Automotive FAQs
Mullen Automotive is a publicly-traded development-stage electric vehicle company based in Brea, California that typically uses outside partnerships to manufacture its vehicles. The company was founded in 2014 and currently sells self-designed electric delivery vehicles. Besides its commercial offerings, Mullen plans to begin manufacturing its Mullen FIVE EV crossover in late 2024 or early 2025. Mullen Automotive went public on the NASDAQ exchange through a reverse merger in late 2021.
David Michery has been the company’s CEO since he founded and incorporated the company in 2014. The existing company came from the merging of CODA Automotive and Mullen Motor Cars through acquisition. Michery is joined by Chief Financial Officer Jonathan New, Chief Commercial Officer John Schwegman and President of the Automotive Division Calin Popa.
Through a partnership with Randy Marion Automotive Group, Mullen distributes its Mullen One delivery van that has an electric range of 110 miles. Through an agreement with a Chinese manufacturer and distributor based in Ireland, the company also distributes the Mullen-GO Commercial Urban Delivery EV in Europe. In July 2023, Mullen will begin commercial production at its facility in Mississippi of its Class 3 EV Cab Chassis long-haul truck for immediate delivery. Through its 60% ownership stake in Bollinger Motors, Mullen will also reap the benefits of that company’s B1 SUV and B2 pickup truck, as well as other commercial vehicles in the future. The Mullen FIVE crossover vehicle is not slated for production until at least late 2024, but it is already taking reservations.
Mullen has been diluting its stock since going public in late 2021. This is because the company as of yet currently has little revenue from operations and no profits. The stock has fallen over 99% since the company’s reverse merger in November 2021, and the rapid dilution is mostly to blame. Taking into account Mullen’s 1-for-25 reverse stock split on May 4, 2023, Mullen had 33,338,727 shares outstanding on September 30, 2022, but 126,281,274 shares on March 31, 2023. The company is allowed to sell up to 200 million shares under current authorization.