Dividend Stocks

FFIE Stock Alert: 2 Big Reasons Faraday Future Is Up Today

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Faraday Future Intelligent Electric (NASDAQ:FFIE) stock is advancing 5% today after the company announced it had sold its first FF 91 2.0 Futurist Alliance, a super-luxury electric vehicle (EV). According to the company, the $309,000 EV extensively uses artificial intelligence (AI) and has three motors.

On a separate note, Bloomberg also reports that China may decide to extend EV tax incentives for some EVs sold in the country through 2027. This sales tax exemption had been slated to end in January 2024.

That said, China may decide to not extend the exemption for EVs and plug-in hybrids that cost more than $42,000, per Bloomberg. As a result, the exemption measure may not exactly help FFIE. One of the company’s “more affordable” EVs still costs a hefty $249,000.

FFIE Stock: Faraday Sells Its First Futurist Alliance

Faraday’s Futurist Alliance EV uses three motors to generate 1,050 horsepower. What’s more, according to the company, the vehicle has “the longest interior space among ultra-luxury vehicles.” The firm adds that the EV can accelerate from zero miles per hour to 60 mph in 2.27 seconds. Finally, the vehicle’s AI capabilities enable it “to perceive user habits, engage in continuous learning and evolve.”

Faraday intends to sell only 300 FF 91 2.0 Futurist Alliance EVs.

Who did Faraday sell its first exclusive, high-priced vehicle to? According to the company, Rem D Koolhaas “signed the first sales contract for the first FF 91 2.0 Futurist Alliance.” Per the press release, Koolhaas “created the award-winning fashion label United Nude in 2003” and Faraday is “excited to have such a design-focused visionary to co-create with […] and help […] disrupt the industry and lead FF into the future of new mobility.”

What Else Should You Know About FFIE Stock?

Founded in 2014 and employing about 1,000 people, Faraday is currently building an EV factory in the Las Vegas area, per Electrek. The company’s CEO is Xuefeng Chen, who was previously the head of Faraday’s China business. Chen has worked in the auto sector for about 20 years and took the reins at FFIE last November.

Back in November, Faraday also reported that there was “substantial doubt” about whether the business could survive.

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On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been PLUG, XOM and solar stocks. You can reach him on Stocktwits at @larryramer.