Why Microvast Was Tumbling Today
Shares of Microvast (NASDAQ: MVST) were falling almost 10% in morning trading Tuesday after the Chinese maker of electric vehicle batteries reported second-quarter losses that were wider than the year-ago period amid global supply chain disruptions that have led to shortages of materials.
Microvast said its performance was affected by a number of factors, pointing to shipping delays and the chip shortage, which resulted in lower order volume for one of its manufacturing lines. While it views those as temporary setbacks, it also suffered from inventory write-downs for certain legacy products, and its sales in China carried lower average selling prices than for sales in other areas.
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Source Fool.com
