It’s true customer satisfaction doesn’t look so great if one goes by these incidents. The question is, is there any data to gauge the percentage of dissatisfied customers? If the percentage is high, sales may dip in medium term and stock can correct to IPO levels.
If these are isolated incidents, and the company has already improved the product based on these reports, then there may be improvement in public outlook in a few years time.
HSBC seems to be optimistic on it’s outlook:
For me as an investor, I am only betting on company’s Cell business, and it’s application in various sectors (especially Battery energy storage systems [BESS] and swappable battery packs). It needs to become a supplier to other Auto companies as well, which can become a big business in itself.
It’s 2W business is riddled with challenges, and not a safe bet at all given current valuations.
| Subscribe To Our Free Newsletter |
