Electric vehicle stock VinFast (NASDAQ:VFS) has had quite a ride over the last couple of months. In fact, earlier in Tuesday’s trading, it hit a new low of $7.01 per share. But a bit of a rally followed, and now, VinFast is up over 2.6% in Tuesday afternoon’s trading as some see an opportunity in the vastly reduced share price.
To be sure, VinFast has lost the shine from its glory days, when it could boast a higher market cap than even legacy automakers, pre-strike, like Ford (NYSE:F) and General Motors (NYSE:GM). But it’s still got many of its contemporaries in the electric vehicle space beat, including Nio (NASDAQ:NIO). And helping to drive the rally is Chardan Research, who started coverage on VinFast. Chardan, via analyst Brian Dobson, put a Buy rating on VinFast with a price target of $11, noting that the company had a “…meaningful long-term growth potential.”
Is VFS a Buy or Sell?
While VinFast doesn’t have much analyst coverage currently, a look at the last five trading days for VFS stock shows a distressing pattern – down and fairly quickly. While the downward pace was only rapid at one point, it’s been trading down every day this week. Some indeed might see that as an opportunity, but others might wonder how much longer this pattern can hold out.
