It was probably mentioned somewhere in the thread, but what does the State intend to use the 1,000 electric vans for?

I like the way their vehicles look.

Can't wait to see one out in the wild.

Pretty sure I got a glimpse of one of the state vehicles in downtown yesterday or the day before. It was more than a block away and going a different direction, so it was only a flash, but they’re pretty unusual from a form factor standpoint, and not sure what else it might have been if not a Canoo.

It was probably mentioned somewhere in the thread, but what does the State intend to use the 1,000 electric vans for?

They go to OMES. What they are used for? "OMES Executive Director John Suter. "We look forward to evaluating these new assets and the role they can play in modernizing Oklahoma's vehicle use." "

They go to OMES. What they are used for? "OMES Executive Director John Suter. "We look forward to evaluating these new assets and the role they can play in modernizing Oklahoma's vehicle use." "

Makes sense so probably anything from IT vehicles to logistics.

Makes sense so probably anything from IT vehicles to logistics.

One of the components of OMES is the state motor pool, basically anything but state police have an OMES livery on it. They get distributed around to other state agencies, where are parked and get checked out to their staff when they have a need for one.

I like the way their vehicles look.

Can't wait to see one out in the wild.

Saw one driving on I-40 out by their OKC plant back in December.

It was larger than I had imagined.

One of the components of OMES is the state motor pool, basically anything but state police have an OMES livery on it. They get distributed around to other state agencies, where are parked and get checked out to their staff when they have a need for one.

Didn't Stitt talk about getting rid of the large Oklahoma state vehicle we have? Something like 7000 underutilized because of low mileage use. These electric ones would be better for low mileage use since they need less maintenance and range.

Didn't Stitt talk about getting rid of the large Oklahoma state vehicle we have? Something like 7000 underutilized because of low mileage use. These electric ones would be better for low mileage use since they need less maintenance and range.

Let's hope he doesn't give one to his wife.

Canoo Reaches Agreement with U.S. Postal Service for Purchase of Electric Vehicles

https://www.press.canoo.com/press-release/canoo-reaches-agreement-with-us-postal-service-for-purchase-of-electric-vehicles

Canoo Reaches Agreement with U.S. Postal Service for Purchase of Electric Vehicles

https://www.press.canoo.com/press-release/canoo-reaches-agreement-with-us-postal-service-for-purchase-of-electric-vehicles

Hopefully the USPS purchases more if it works out. 6 is a pretty is a pretty low number.

Hopefully the USPS purchases more if it works out. 6 is a pretty is a pretty low number.

It is very normal for a test run. They will be able to test the vehicles out on different routes and conditions and see if they can meet their performance demands. What starts out as a small order for testing could become a multi year contract to produce 20,000 fleet vehicles for USPS.

It is very normal for a test run. They will be able to test the vehicles out on different routes and conditions and see if they can meet their performance demands. What starts out as a small order for testing could become a multi year contract to produce 20,000 fleet vehicles for USPS.

This should've been done a loooooong time ago, perfect use for EVs - short runs during the day, recharge at night. But DeJoy......

The stock price is currently on a rip right now on news that Canoo acquired some equipment at a deep discount and will use it to continue expanding the Oklahoma plant. https://www.marketscreener.com/quote/stock/CANOO-INC-57291647/news/Canoo-Inc-Acquires-Manufacturing-Assets-to-Increase-Vehicle-Assembly-Capacity-45691988/

That may not be the only reason. Since they've started delivering vehicles they seem to have turned a few heads. As previously stated, it's just a few vehicles so far and still a lot to prove, but they have made it to production so that's something...
Doesn't look good at .1573 a share. Not sure how long they will stay afloat.

https://www.nwaonline.com/news/2024/feb/08/canoo-president-out-now-will-advise-ceo/


2/8/24

Electric vehicle-maker Canoo Inc. said Wednesday its president is stepping down and will now serve as an advisor to the company's CEO.

The company with manufacturing operations in Oklahoma said Wednesday in a release that its President Josette Sheeran and Rainer Schmueckle both resigned from Canoo's board of directors. Sheeran was named president in July 2021.

"I look forward to continuing working with Josette in her new role as strategic advisor to the CEO. Josette was instrumental in the re-founding of Canoo, our government partnerships such as with the State of Oklahoma, and our selection by NASA to provide the Crew Transportation Vehicles for the Artemis launches," Canoo's Chief Executive Officer and Executive Chairman Tony Aquila said in a release.

Deborah Diaz, former chief technology officer at NASA and chief information officer for science and technology at the U.S. Department of Homeland Security will join the board, along with James Chena, shareholder at the law firm of Babst, Calland, Clements and Zomnir in the firm's transportation technology and energy practice, according to a release.

Canoo has yet to post a profitable quarter or meaningful revenue as it tries to bring its vehicles to market at scale.

http://www.okctalk.com/images/pete/canoo020924a.jpg

Buy the dip!

(this comment is satirical and does not constitute actual financial advice)

Walmart will keep them alive. Vehicles all over NW Arkansas with Walmart logos attached.

Doesn't look good at .1573 a share. Not sure how long they will stay afloat.

I'm not sure how much longer they'll stay afloat either, but the stock price being in the pennies isn't itself a marker of the company's longevity. There are many, many penny stocks out there representing companies that stick around for decades. Canoo will perform a reverse split later this year that will bring it's share price back over a dollar. This will be shorted down immediately, as is almost always the case with reverse splits, but the company will be able to keep selling shares and stay afloat. Now that they have some revenue coming in, they'll start to look better, but posting a profit is a long ways off.

The stock is still being played by penny investors, so there are periodic strong rises followed by sharp drops.

I'm not sure how much longer they'll stay afloat either, but the stock price being in the pennies isn't itself a marker of the company's longevity. There are many, many penny stocks out there representing companies that stick around for decades. Canoo will perform a reverse split later this year that will bring it's share price back over a dollar. This will be shorted down immediately, as is almost always the case with reverse splits, but the company will be able to keep selling shares and stay afloat. Now that they have some revenue coming in, they'll start to look better, but posting a profit is a long ways off.

The stock is still being played by penny investors, so there are periodic strong rises followed by sharp drops.

They are going to perform up to a 30:1 stock buyback to correct the share price and stay listed. This year is a massive make or break year for them. if production starts to ramp up they may be able to thread the needle. It genuinely just comes down to are they going to make enough cars this year or not.

Buy the dip!

(this comment is satirical and does not constitute actual financial advice)

Well, why don't buy the stock if Canoo's debt is lower than the total price of all its stock?

They are going to perform up to a 30:1 stock buyback to correct the share price and stay listed. This year is a massive make or break year for them. if production starts to ramp up they may be able to thread the needle. It genuinely just comes down to are they going to make enough cars this year or not.

Stock buyback?

Do you mean reverse split?

Walmart will keep them alive. Vehicles all over NW Arkansas with Walmart logos attached.

That should be 'baked in' already though.

https://www.nwaonline.com/news/2024/feb/08/canoo-president-out-now-will-advise-ceo/

I wouldn't think the NASA contract wouldn't be that large. NASA probably just wanted a futuristic EV crew transport vehicle that wasn't Tesla.

https://electrek.co/2024/02/29/canoos-goev-rugged-electric-pickup-spotted-testing/

Do you mean reverse split?

Yes, I have no idea why I said buyback.

Rumblings are the reverse split may happen when the stock finally drops to $0.05. I still can't believe there are stock pundits out there pushing a "predicted" value over $4 in a year. Makes zero sense short of some sort of magical government intervention.

Rumblings are the reverse split may happen when the stock finally drops to $0.05. I still can't believe there are stock pundits out there pushing a "predicted" value over $4 in a year. Makes zero sense short of some sort of magical government intervention.

They have to do the reverse split before the end of March. The split was approved by shareholders to be from 2:1 all the way up to 30:1. The lack of visible production out of the Oklahoma plant makes me think the stock is more likely to go bellow a dollar again rather than grow from $1.50-$3 to $4.

They have to do the reverse split before the end of March. The split was approved by shareholders to be from 2:1 all the way up to 30:1. The lack of visible production out of the Oklahoma plant makes me think the stock is more likely to go bellow a dollar again rather than grow from $1.50-$3 to $4.

Not to nitpick but reverse splits are listed as 1:2 up to 1:30.

1:23 stock split announced this morning; effective March 8, 2024

https://investors.canoo.com/news-presentations/press-releases/detail/128/canoo-inc-announces-1-for-23-reverse-stock-split-effective

Nevermind

I don't see Canoo making it more than a few years. Their portfolio looks pretty awful and the reverse split just to stay on the exchange is usually not a great sign. The do pay their directors a ton of money though.

There is an axiom in marketing that selling new products to existing customers is infinitely easier than selling new product to new markets/buyers. Without huge subsidies or incredibly deep investor pockets, it is hard for someone like canoo to go against existing auto makers with established suppliers, scale of purchasing, prior design knowledge, existing facilities and production equipment, existing sales systems, large customer bases, huge advertising budgets, existing reputation, etc. it is a HIGH capital industry in which it is hard to just dip a toe into. Odds are really against them without having proprietary breakthrough technology. None of their designs can’t be done by others with better economics and more advanced designs. If they survive it would be an incredible David vs Goliath story without divine intervention.

As typical with reverse splits, it's getting hit hard right now. Expect at least a few days of 5-15% losses. It will probably dive under $1 again before too long. They are probably selling more shares themselves at this time. That's what usually happens in the penny stock "death spiral" cycle: reverse split, dilute, then reverse split again so you can keep diluting. Eventually you run out of rubes willing to buy shares so it drops harder and faster each time until creditors/regulators realize the stock is truly worthless.

They will probably pump out some good PR soon however. They are supposedly staffed up at the OKC plant and ready to produce. They need to start pumping out at least a few cars. I expect that to be the next big PR. Even just a few cars per week rolling off the assembly line would be something.

canoo is gonna need a life raft

They needed a life raft 12 months ago. The reverse split was supposed to buy them time. Ideally, keep them afloat until April 1st. At this rate they might not make it to this Friday. They will make a great case study of what not to do though.

It's very tough for them because you have all the big manufacturers that not only have a lot of EV products on the market, but they all have a bunch more pretty far along in the pipeline.

Then you have the new companies like Tesla, Rivian, and Lucid who are just way farther along and when it comes to building vehicles, that matters a lot. Heck, even after all this time Tesla is still having serious quality control issues. Vehicle manufacturing is *hard*.

Even in the delivery van space, you have industry leaders like Ford and Mercedes with great EV products already on the road and now red hot Hyundai/Kia is getting into that same market. All are very entrenched and their EV products are very highly regarded.

You also have all these Chinese companies up and running with tons of cars already on the road.

On top of all that, EV sales are growing at a slower rate than anticipated.

I'm having a very hard time seeing where Canoo is going to get market share.

^Very true Pete. However, they seem to already have a bunch of orders in the pipeline. Their concept, surprisingly, seems to have a solid market. Like you said though, vehicle manufacturing is hard, and Canoo is running out of time to get products built and out the door. The stock had a 25% drop today...

Once the Chinese EV's start really flooding the market, I expect to see congress act to tariff the hell out of them or even block them simply because there's no way US companies could compete. I've actually considered importing some of the Chinese E-bikes and scooters to sell locally. Of course, there are safety factors to consider...

Rivian's R3 looks really good, but like most others it is expected to be too darn expensive to really capture the market. I'm not spending $50 grand on my next vehicle. Not even 40 and maybe not even 30.

^Very true Pete. However, they seem to already have a bunch of orders in the pipeline. Their concept, surprisingly, seems to have a solid market. Like you said though, vehicle manufacturing is hard, and Canoo is running out of time to get products built and out the door. The stock had a 25% drop today...

Once the Chinese EV's start really flooding the market, I expect to see congress act to tariff the hell out of them or even block them simply because there's no way US companies could compete. I've actually considered importing some of the Chinese E-bikes and scooters to sell locally. Of course, there are safety factors to consider...

Rivian's R3 looks really good, but like most others it is expected to be too darn expensive to really capture the market. I'm not spending $50 grand on my next vehicle. Not even 40 and maybe not even 30.

I don't think they have a lot of hard orders. Anyone know what their order level and delivery schedule is compared to the projections shown to investors for this time period? It isn't just that they may have orders, but can they deliver on time and without problems according to the business plans and forecasts to shareholders.

I saw one of their trucks on Hwy 114 in Justin, Texas a few weeks ago. I guess they have an office down there. Didn't catch a great look at it as I was going about 60 and it was slowing down to turn left. I liked what i saw though. Definitely different. Odds aren't in their favor it seems, but i hope they succeed.

Their vehicle seems to be a perfect fit for USPS in urban / suburban areas. I thought they had a deal to provide new mail carrier vehicles or am I recalling a discussion about how much sense it makes??

Their van also makes sense for municipalities and state agencies for local transportation of people and material.

Their vehicle seems to be a perfect fit for USPS in urban / suburban areas. I thought they had a deal to provide new mail carrier vehicles or am I recalling a discussion about how much sense it makes??

Their van also makes sense for municipalities and state agencies for local transportation of people and material.

But tried-and-true manufacturers like Mercedes, Ford and now Kia/Hyundai already have great EV vans rolling off the assembly line. Companies with decades of experience building and servicing huge fleets of delivery vans.

If you were running a business, why on earth would you take a gigantic flyer on a company like Canoo?

That's the reality they are facing.

^^ True. Maybe a "Buy American" requirement for USPS would help to an extent. I have noticed USPS replaces the MB star in the grille of their vehicles. Then the specter of a giant like Ford comes into play. Canoo definitely has a steep uphill climb ahead IF it survives.

The USPS just bought nearly 10,000 EV's from Ford.

The new Mercedes eSprinter is made in Charleston, SC.

The USPS just bought nearly 10,000 EV's from Ford.

The new Mercedes eSprinter is made in Charleston, SC.

Would have been nice for the state to land a car manufacturer that has a feasible chance of existing for longer than 2 years from now.

Amazon has already bought 100,000 delivery vans from Rivian. Ram now has a good EV delivery van.

All these vehicles I've mentioned have variants that include high-profile configurations which allow a driver to stand up in the cargo hold. Canoo doesn't have anything like this.

So, what is the market niche for Canoo? It's very hard to see one.

i did just see my first canoo van on I-40 coming back from lunch today. i didn't get a chance to take a picture since i was driving. but have now seen one in the wild

https://finance.yahoo.com/news/canoo-oklahoma-city-manufacturing-facility-100000353.html

stock price up around $1 this morning

Amazon has already bought 100,000 delivery vans from Rivian. Ram now has a good EV delivery van.

All these vehicles I've mentioned have variants that include high-profile configurations which allow a driver to stand up in the cargo hold. Canoo doesn't have anything like this.

So, what is the market niche for Canoo? It's very hard to see one.

Their website is trying to get people to pre-order their own version of the delivery van with customizable options.
EV Multipurpose Delivery Vehicle (https://www.canoo.com/mpdv/)

Their website is trying to get people to pre-order their own version of the delivery van with customizable options.
EV Multipurpose Delivery Vehicle (https://www.canoo.com/mpdv/)

Cool, thanks.

I would love to see them make it, I just think they are just way behind all of the already entrenched and trusted car companies.

https://finance.yahoo.com/news/canoo-oklahoma-city-manufacturing-facility-100000353.html

stock price up around $1 this morning

It's pretty weird seeing which bits of news will move this stock... I have a feeling it will go back down just as fast, per usual. Funnily enough it doesn't usually move this good on news that is far more substantial and positive. Maybe it's because this was less expected?

Cool, thanks.

I would love to see them make it, I just think they are just way behind all of the already entrenched and trusted car companies.

They have a window of opportunity that is fast closing. Volvo is also working on a van and as you and other mentioned there's others working on and producing delivery capable vans, etc.

I personally think Canoo's product is far more user friendly and design wise works better than even Rivian's van. However, they've got to get it together and sooner than later or they will have no chance of getting significant market share. Walmart, USPS, etc. will only wait for so long before they find others with better production capacity.

Remember in these corporations that buy big delivery fleets, there are managers who are putting their careers on the line.

If you were one of them, would you commit to buying thousands of vehicles from a completely unproven company while similar EV manufacturers are dropping like flies?

At least with Rivian (let alone MB, Ram, Ford, Hyundai) they have thousands of units already making deliveries. If Canoo had come to market a few years ago, that would be another matter, but they look like they are still at least a couple of years out.

Stock still pretty high at 3.49 but earnings come out 4/1. I don't see that making the stock go up any. Time for some puts.

Did anyone read the article I posted? “Canoo’s Oklahoma City Manufacturing Facility Approved as Foreign Trade Zone”….

Yes, it's likely a big reason the stock price jumped.

Full-2024 revenue guidance is only $50-$100MM. Not looking good.

Ya they are dead in the water in a year.

They don't have enough cash on hand to sustain operations for the next 12 months.