Today, investors in Hyliion (NYSE:HYLN) are seeing impressive gains of nearly 10% at the time of writing. Today’s move has sent HYLN stock to its highest level in a month. Furthermore, it suggests sentiment for this electric vehicle (EV) stock could be turning bullish.
As a developer of electrified powertrain solutions and battery-management systems for the commercial EV sector, Hyliion is widely viewed as a “picks and shovels” play on the sector. When EV stocks are on a roll, so too does Hyliion tend to see increased investor interest.
Given the technological innovation in the battery EV and hybrid markets of late, Hyliion is a stock that has garnered a lot of attention. In particular, during the special purpose acquisition company (SPAC) rally of late 2020, HYLYN stock surged from its pre-IPO price of $10 per share to more than $50 per share on extremely bullish sentiment.
Like many other de-SPAC stocks, Hyliion appears to have fallen off the radar somewhat for investors. Trading at sub-$10 per share, this is yet another recent casualty of capital flows out of SPAC-related stocks.
That said, HYLN stock is quickly approaching its SPAC initial public offering (IPO) price. And investors have reason to remain bullish on this company powering the EV sector right now.
Let’s dive into two catalysts investors are watching with Hyliion today.
HYLN Stock Moving Higher on Bullish EV Sentiment
Investors in a range of EV stocks today are seeing a lot of green. Shares of American EV stocks Tesla (NASDAQ:TSLA) and Lucid (NASDAQ:LCID) are both higher amid some volatility in the high-growth space today. This positive momentum has been underway in recent weeks. However, the move EV-related stocks have seen over the past week is notable.
Among the key factors driving interest in Lucid specifically is the company’s upcoming production preview of its Lucid Air model. As we pointed out earlier today, this production preview is one that investors have eagerly awaited for some time. Given the bullish Environmental Protection Agency (EPA) rating Lucid has received recently, this preview will highlight some of the innovative technologies battery EV players are putting forward. In this light, Hyliion is a stock investors have reason to focus on right now.
Additionally, a broader catalyst taking EV-related stocks higher today is the expectation that the vote on the $1 trillion infrastructure bill could pass on Thursday. Today, Nancy Pelosi set Thursday as the date to vote on this bill. Various EV-related investments could boost the overall sector, driving valuations higher in the near term. Accordingly, investors appear to be getting ahead of this vote and piling into companies such as Hyliion today.
On the date of publication, Chris MacDonald 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.