VinFast Auto Ltd. ($VVFS) gained nearly 200% in share price value yesterday, pushing the market cap to over $90B. The closing price of $36.72 was still short of the post-SPAC high of $46.98 as the wild swings continued for the electric vehicle stock.
Volume on VFS topped 18K shares for the session, outdone only by Tesla ($TSLA) and Toyota ($TM) in the automotive sector. Wall Street analysts are yet to post any ratings on VinFast ($VVFS)
$VVFS manufactures and exports a portfolio of e-SUVs, e-scooters and e-buses across Vietnam, North America, and they plan to expand to Europe in the very near future. The company claims to operate a state-of-the-art automotive manufacturing complex in Hai Phong that boasts up to 90% manufacturing automation and an annual production capacity of up to 300K units per year in phase 1.
With the massive surge printed this month, caution must be exercised going forward, as a pull-back before a continuation may be on the cards.
The rally may be a result of a low-float stock with high volatility, and the near $100 billion market cap does not justify the company’s growth prospects for the foreseeable future.
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