Why Flying Car Stocks Fell in August
Few emerging industries seem more inspired by science fiction than battery-powered personal aircraft. So perhaps it is no surprise that in a market where investors are fleeing from pre-revenue, speculative investments, so-called "flying car" stocks have taken it on the chin.
In August, shares of Vertical Aerospace (NYSE: EVTL) fell 30%, shares of Lilium (NASDAQ: LILM) lost 19%, and Archer Aviation (NYSE: ACHR) sank by 12%, according to data provided by S&P Global Market Intelligence, as investors kept their focus on safer, more reliable investments.
Vertical, Lilium, and Archer are all developing eVTOLs -- electric airplanes capable of vertical takeoffs and landings. Those three companies, along with peer Joby Aviation (NYSE: JOBY), all joined the public market over the past year via mergers with special-purpose acquisition companies (SPACs) to raise funds to bring their aircraft designs to market.
Source Fool.com
