XL: Real Revenues, Real Product, My Favorite EV SPAC Play
Updated
XL is a maker of hybrid and fully electric engines for trucks and cargo vans. The company sold over 4,000 units in 2020 and are projecting 9,200 this year. They do not however only sell hybrid/electric engines, they also recently got into the charging market. They announced a partnership with UBS arena (NY Islanders stadium) to deploy 1,000 charging stations in the parking ramp. This is a first of it's kind deal in the industry, and I believe this is just the beginning for XL in terms of partnerships with large event venues.
Anything tied with EVs and SPACs has been absolute mania recently. The pullback across the board though has given great buying opportunities into well run, real revenue producing companies however. And I strongly believe XL is one of them.
Technically looking at it as well, it broke it's $18 support level when the entire market tanked late February. It now is showing signs of a reversal coming of a Tom Demark niner as well as momentum picking up after the company appearing on Mad Money. I believe the stock will quickly get back to it's $18 support level, and eventually make a push back to the $26-28 range.
I am using that $26-28 range as a 6-month price target.
Anything tied with EVs and SPACs has been absolute mania recently. The pullback across the board though has given great buying opportunities into well run, real revenue producing companies however. And I strongly believe XL is one of them.
Technically looking at it as well, it broke it's $18 support level when the entire market tanked late February. It now is showing signs of a reversal coming of a Tom Demark niner as well as momentum picking up after the company appearing on Mad Money. I believe the stock will quickly get back to it's $18 support level, and eventually make a push back to the $26-28 range.
I am using that $26-28 range as a 6-month price target.
Note
Stock has made new lows as Muddy Waters released a new short report. I am out of the name but will look to re-enter the name on a solid support level
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