We are short $MVIS. In a market gone mad, this $1.2 billion market cap corporate husk with almost no revenue or intellectual property value is a standout.
It has risen 5,000% from lows this year on misguided retail euphoria over its LiDAR IP portfolio amid a broad EV bubble.
Retail investors have latched onto the company's portfolio of 250+ active patents, but an IP attorney we engaged found that only ~10 $MVIS issued patents even mention LiDAR.
Of those, many are oriented toward consumer/non-automotive use.
These patents haven't faced inter partes review (IPR) challenges yet, significantly reducing their value.
“No one buys patents these days for any real money unless the patents have been put through the test of at least an IPR,” our IP attorney told us.
The recent excitement all belies the fact that $MVIS is essentially a science project that has gone nowhere after 25 years.
It was trading around $0.20 in April of this year and contemplating sale or liquidation.
But EV mania presented an opportunity.
In November, the company put financing documents in place then announced the very next day that it hopes to have a LiDAR demo product by April 2021.
Adding to this, a chorus of second-tier blogs have pushed the narrative that the company could be acquired by Microsoft or other “tech giants” – an extremely unlikely proposition given the company’s astronomical valuation.
In fact, overzealous $MVIS shareholders had a coup of sorts during a May 12, 2020 Microsoft webinar, in which they forced a Microsoft PR rep to deny that it was buying $MVIS.
Regardless, these perpetual buyout rumors are a factor in the stock’s meteoric rise.
We have absolutely no doubt that $MVIS will take advantage of this holiday gift and dilute investors through an equity offering as quickly as it can raise money.
As of September 30, 2020, the company notes it has racked up an accumulated deficit of $582.7 million.
This furthers our belief that $MVIS has near-zero long-term intrinsic value.
We assign a short-term price target of $1.50 to $MVIS, representing 80% downside from current levels.
• • •
Missing some Tweet in this thread? You can try to
force a refresh
Tonight, CNBC released a bombshell article detailing multiple allegations of sexual abuse perpetrated by Trevor Milton, $NKLA founder, current largest shareholder (with ~24% ownership), recent Executive Chairman and former CEO.
In light of the latest, let’s discuss the company’s backers, partners and bankers that have all recently tried to absolve themselves of liability by assuring the market and the public of their extensive due-diligence on $NKLA.
Following our report, which contained details of dozens of material false statements by $NKLA, the company failed to even attempt to answer 43 of 53 questions we raised.
Instead, it addressed roughly 10 questions, largely confirming our findings, and ignored the rest.
Today, we reveal why we believe $NKLA is an intricate fraud built on dozens of lies over the course of its Founder and Executive Chairman Trevor Milton’s career.
We have gathered extensive evidence—including recorded phone calls, text messages, private emails and behind-the-scenes photographs—detailing dozens of false statements by $NKLA Founder Trevor Milton. We have never seen this level of deception at a public company.
's management team is one of the most questionable we have ever seen at a public company. Top executives have extensive ties to alleged pump & dump schemes, organized crime and various acts of fraud.
President & Co-Founder Michael Salaman was alleged by the FTC to have engaged in scheme to sell credit card information without authorization.
He has an extensive career in penny stock failures alongside his father, Abraham Salaman, a twice-convicted fraudster w/ mob ties
New from us—Facedrive: A $1B+ ESG Stock Promotion with a Hollow Core Business, Flailing Business Pivots and Multi-Million Dollar Payments to an Opaque BVI Entity; 95% Downside
recently went public with the core premise of being an “eco-friendly” ride hailing app allowing users to select electric vehicle or hybrid options.
EV excitement has fueled the stock to a ludicrous $1.4 billion market cap and an absurd 908x revenue multiple.
's already-limited Canada-based ridesharing business appears to have been dramatically impaired by COVID.
While the company claims 13,000 registered drivers on the platform, we estimate current active drivers at ~500-600 total, suggesting a 95% overstatement.
We're short $WKHS because we think there's immediate 50% downside. The company has an astronomical valuation of ~$1.5B despite less than $100k in revenue last quarter.
We see the chance of winning a material USPS contract as virtually zero. A reality check is on its way.
Company insiders and key stakeholders seem to agree; they have been aggressively dumping shares over the past several weeks/months. We expect insiders to continue to unload.
$WKHS has a marginal 10% stake in Lordstown which needs ~$450m to even get off the ground, suggesting major dilution.
Retail investors & daytraders looking for the next $TSLA or $NKLA are in the wrong place, despite the recent widespread EV hype
Today, posted photos & video of its Qingdao EV 'operation'.
After we called them out for having no physical presence on site last week, we had a feeling the co. would attempt to cover it up, so we had a surveillance team monitor the site this weekend... (1/x)
Instead of showing a roaring "MEG" sales operation, the company instead displayed its logo on 2 easily modifiable LED signs.
We visited the same spot days ago. The signs were blank and turned off with no logo. We even posted them on twitter
We also took video from inside the facility today. No signs of or MEG, no booming EV car business. We believe is trying to make this facility out to be something bigger than it is because they know that their narrative is falling apart.