LORDSTOWN, Ohio (WKBN) – The struggle continues for Lordstown Motors. Can it find a way to survive? The stock is being moved to a different exchange this week, which will definitely have an impact on any investors still holding onto the stock.
Tomorrow is the final day that Lordstown Motors stock will be traded on the Nasdaq. It’s being delisted and will be moved to the over-the-counter (OTC) market.
“So now basically, it’s a much different scenario for those stockholders that are trying to trade it. It also usually means some financial difficulty or distress,” said Christ Mediate, with Mediate Financial Services.
That’s exactly what has happened with Lordstown Motors, which has filed for bankruptcy.
The company was started in 2018 with a great idea for an electric pickup. But it struggled to make the Endurance, without losing money.
Lordstown Motors stock started being traded in 2020. It enjoyed success. People believed this was the start of something big. The company has fallen, and the stock too, dropping 98% in the last 2 years.
“This was gonna give a big boost to our economy. I think everybody was rooting for it. And so the disappointment’s there, and I guess what we would say is what now?” Mediate said.
There may be some who still believe in the Endurance pickup. Though it looks bleak, Lordstown Motors could reorganize, if it could find funding.
“That’s a very difficult challenge. Could it happen? It can, odds are against that to happen, though,” Mediate said.
In the last year, Lordstown Motors’ stock has been as high as $55.95 a share. Today, it closed at $2.15.
