1. Lotus Technology Inc. (NASDAQ:LOT)
Short Interest as % of Shares Outstanding: 0.04%
Number of Hedge Fund Holders: 11
Lotus Technology Inc. (NASDAQ:LOT) specializes in designing, developing, and selling battery electric lifestyle vehicles on a global scale. Additionally, the company distributes sports cars, all under the Lotus brand. It is making significant strides in the EV market with its innovative approach to battery-electric lifestyle vehicles.
As a division of the renowned British Lotus Group, it is known for its high-performance sports cars under Lotus Cars. Since its merger with L Catterton Asia Acquisition Corp (LCAA) and subsequent Nasdaq listing in late February 2024, it has been working constantly to use its rich heritage in performance and innovation to meet consumer needs.
The company has introduced several models that highlight its commitment to sustainable and advanced electric mobility. The Lotus Evija, launched in 2019, is the brand’s inaugural all-electric hypercar, featuring a 70 kWh battery pack developed in collaboration with Williams Advanced Engineering. The Evija represents a major step in the company’s transition to electric vehicles, showcasing impressive power and performance.
Additionally, the Lotus Eletre, introduced in March 2023, signified the company’s entry into the electric SUV market. It is equipped with a 112 kWh battery pack and an 800V high-voltage system, offering a range of up to 600 kilometers.
Another significant addition is the Lotus Emeya, a luxury electric hyper-GT unveiled in September 2023. With its high-power dual motors, the Emeya can accelerate from 0 to 100 km/h in just 2.8 seconds, positioning it as a formidable contender in the luxury electric vehicle segment.
In the second quarter, Lotus Technology (NASDAQ:LOT) delivered 2,679 vehicles, which marks a substantial 128% increase compared to the previous year. The growth was reflected in the company’s revenue, which reached $225 million, up 103% year-over-year.
The gross margin for the second quarter also improved to 9%, compared to 5% in the same period the previous year. Over the first half of 2024, the company saw nearly 4,900 vehicles delivered, a remarkable 239% increase from the previous year, with significant contributions from the US market, which accounted for 26% of total deliveries.
In response to shifting market conditions and new tariff policies in the US and EU, Lotus Technology (NASDAQ:LOT) has adjusted its delivery target for 2024 to 12,000 units. The company has launched the “Win26” plan, which aims to achieve positive EBITDA by 2026 through optimized internal processes, cost management, and recalibrated product plans designed to meet diverse global market demands.
According to our database, 11 hedge funds held stakes in Lotus Technology (NASDAQ:LOT) in the second quarter, with positions worth $650,000. It tops our list of the best EV stocks to buy according to short sellers.
While we acknowledge the potential of Lotus Technology Inc. (NASDAQ:LOT) to grow, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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