VinFast and Polestar Report Positive Third-Quarter Delivery Figures, Stocks Show Promising Growth

Investors received encouraging news on Thursday as electric-vehicle start-ups VinFast Auto and Polestar Automotive reported their third-quarter delivery figures. While VinFast delivered fewer cars compared to the previous quarter, its stock showed an upward trend.

VinFast announced that it successfully delivered 10,027 electric vehicles (EVs) in the third quarter, marking an increase from 9,535 in the second quarter. Year to date, the company has delivered a total of approximately 21,300 EVs. With a target of delivering around 40,000 to 50,000 vehicles by the end of the year, VinFast aims to double its sales in the fourth quarter to meet its guidance midpoint. Despite the challenging goal, the company’s shares rose 5.6% in premarket trading and settled at a 1.1% increase, reaching $8.14 at 10:14 a.m.

VinFast also provided insights into its third-quarter results, stating that sales for the period are estimated to be $343 million, with a gross loss of approximately $100 million. The operating loss is projected to be around $370 million, equivalent to approximately $37,000 per EV sold. It’s worth noting that similar losses per EV sold have been reported by Rivian Automotive and Ford Motor.

On the other hand, Polestar Automotive Holding only released its delivery figures, reporting 13,900 EVs delivered in the third quarter and a total of 41,700 for the first nine months of 2023. The company remains on track to sell 60,000 to 70,000 vehicles in 2023. Although Polestar’s stock experienced a slight decline of 2.2%, it is important to consider the starting points of both companies. While Polestar delivers more EVs, VinFast’s stock is valued at approximately $20 billion, more than three times the value of Polestar’s stock, which is around $6 billion.

The relative market reactions to the two auto makers highlight the unpredictable nature of VinFast’s stock. Despite its recent decline from an intraday high of $93 per share, where it was valued at over $210 billion, VinFast remains one of the most valuable auto makers globally, trailing only Tesla and Toyota Motor.

As the electric-vehicle industry continues to evolve, investors will closely monitor the performance of VinFast and Polestar. The positive delivery figures and stock growth indicate promising prospects for these start-ups, but only time will reveal the true potential of their success.