Why Hyzon Motors Stock Was Plunging on Tuesday
The auto business is challenging, particularly for makers of alt-fuel craft that are not battery electric vehicles (BEVs). Tuesday morning, fuel cell truckmaker Hyzon Motors (NASDAQ: HYZN) reported a set of quarterly figures that starkly illustrated this struggle. Discouraged investors sold out of the company's shares as a result, and by midafternoon they were down nearly 21% in price.
For its second quarter, Hyzon -- which remains at the pre-revenue stage -- booked a net loss of almost $60.3 million ($0.25 per share) against the $38.8 million profit in the same period one year ago. That deficit was quite a bit deeper than expected by analysts tracking the stock. On average, those folks were modeling a narrower loss of $0.18 per share.
In cases where a company is yet to take in revenue, investors typically keep a sharp eye on its cash position. At the end of the quarter, Hyzon held over $172 million in cash, equivalents, and short-term investments.
Source Fool.com
