Everyone talks about wanting to invest in the next Tesla, and I want to make it clear that LMC (Lordstown Motors Corp) is no Tesla. In fact, this interview with CEO Steve Burns highlights why LMC took a different approach than Tesla:
Burns states: “There are a lot of companies that are trying to out-Tesla Tesla, trying to build a very fast, high-end sedan. Sure, new technology typically hits the luxury market first, but we decided the technology is mature enough, and, especially the way we’re doing it with a super-simple design, we can come out for the middle market right away. Fleets buy on total cost of ownership. Hub motors lend themselves to very quick assembly, there’s a lot fewer parts, and the fleets appreciate that out in the field—there’s less to break. You’re never going to have a U-joint or a drive axle, you don’t have to worry about any of that stuff. That’s a big reason for why we’re using these hub motors. They also turned out to be the best handling and the safest, but it all started with the price point.”
First and foremost, I am not comparing the two companies. Tesla is in a league of their own. But, I always think about all of the bears and shorts that capitalized on the bad press that Tesla got all of those years. Then, 2020 happened, people realized that EVs (Electric Vehicles) are the future, and everything changed in a matter of months. People began to realize that we are seeing the biggest innovation in the automotive industry in over a century. As a result, short-sellers lost $38 billion on $TSLA in 2020 as the stock surged.
I’m not going to let a bunch of FUD (Fear, Uncertainty, Doubt) and bad press from the media deter me from investing in a company I have done my DD (Due Diligence) on. I’m not saying LMC is the next Tesla, but I sure as hell won’t be missing out on the $RIDE bull run. I’m from Ohio, and I know how much LMC means to this community. Whenever a company attempts to do something different and challenges the status quo, there will always be doubters. However, I’m as bullish as I have ever been on the future prospects of $RIDE.
Ohio’s Endorsement of LMC:
Ohio Governor Mike Dewine: “Really, this is the future,” DeWine said of the truck and the facility, where he got a private tour. “I think this truck has a great competitive advantage over its competitors.”
Secretary of State Frank LaRose: “I think what this is, is an opportunity to take a challenging circumstance from just a few years ago and turn it into a truly unique and amazing opportunity for not right here in the Youngstown area — Voltage Valley as we like to call it — but all over Ohio.”
U.S. Rep. Tim Ryan, a Democrat who represents the Youngstown, OH area and is considering a U.S. Senate run in 2022, didn’t mince words about the (Hindenburg) short-seller report. He called it “‘bull****. I mean it was just to me, it seemed like a hatchet job for (short-sellers) to make money,” he said. “And look, I mean (Lordstown) is threatening the status quo. And a lot of people are going to bet against them, figuratively and literally. It comes with the territory. You don’t get to the top of the mountain without a bunch of people trying to drag you down.”
Senator Michael Rulli, the Republican state senator from the area, has introduced several bills in Ohio aimed at helping the electric-vehicle industry, said he’s visited the (Lordstown) plant recently. He said he’s seen the company’s robotic assembly line putting together a series of 57 betas. Based on what he’s seen, Rulli said he thinks Lordstown Motors will be producing thousands of Endurance trucks sometime this year or perhaps early next year. “They’re way way way far along,” he said. “Whoever wrote that article (Hindenburg) has never been in that (Lordstown) plant. That is a fact. Anyone who was in that plant would read that article and think it was garbage.”
I am very bullish on $RIDE’s long-term outlook. I have no idea what will happen in the short term (which is why I hold shares instead of calls), but I think investors will be rewarded nicely over the long run.
Excited to be on this $RIDE with you all!
Reddit $RIDE holders 🚀🚀🚀🚀🚀
Links to DD (Due Diligence) posts (Will update this on a regular basis)
$RIDE Wall Street Analyst Price targets (updated as of April)
$RIDE Reddit Hype-Videos:
Hindenburg’s short-report rebuttals: