Today, shares of Hyliion (NYSE:HYLN) are moving, this time to the upside. Indeed, today is a breath of fresh air for investors in HYLN stock.
Since hitting a high of more than $58 in mid-2020, HYLN stock has been on a steady descent down to below the $10 level. This stock is still trading sub-$10, though today shares were up as much as 10% on anticipation this stock could be a great long-term holding.
The company’s CEO came out and gave what appears to be a favorable interview for investors. Accordingly, anticipation among growth plays in the EV sector like Hyliion appear to be getting a second look from investors today.
Let’s jump into what was said, and why investors are jumping on this stock right now.
Bullish Interview Provides Positive Momentum for HYLN Stock
Hyliion CEO Thomas Healy provided some interesting commentary in a recent interview. Investors seem to like what he said, according to today’s nice bump.
What’s intriguing to me is that Mr. Healy acknowledges the relatively dismal stock price performance of HYLN stock in his interview. His comments were aimed at shifting investor focus to the long term, as “ultimately staying head down and accomplishing things is what’s going to make the company successful.”
Now, that’s easier said than done. Most investors in EV stocks are in it for the gains. Indeed, the EV sector has been red-hot of late, as evidenced by the rapid surge in HYLN stock last year.
Mr. Healy assured investors that he’s not concerned with where the stock price is today. His belief is that Hyliion is creating long-term value, and he’s approaching his stock this way. There’s anticipation around an additional interview via a Benzinga podcast tomorrow.
The Bottom Line
As a key FCEV player, HYLN stock hasn’t been spared from the recent turmoil. However, Hyliion’s CEO has defended its preorders, noting “If we’re not delivering the product as we had laid out, then it’s not an order…That’s kind of the definition of the whole preorder side of things.”
Now, investors need to decide for themselves whether this is a stock they want to own. Yes, there’s tons of long-term growth potential in this sector. However, the rate at which Hyliion delivers vehicles is likely to be a key driver of this stock over the medium term.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article.