Mullen Automotive Inc. (NASDAQ:MULN) stock has hit a 52-week low, trading at $0.89, as the company faces a tumultuous market environment. With a market capitalization of just $8 million and an EBITDA of -$267.7 million in the last twelve months, the company's financial health score on InvestingPro is rated as WEAK. This new low comes as a stark contrast to the performance over the past year, with Net Element Inc , which merged with Mullen Technologies Inc. before the company's NASDAQ listing, experiencing a dramatic 1-year change of -99.93%. Investors are closely monitoring MULN's strategic moves and market conditions, as the company navigates through these challenging financial waters. Technical analysis from InvestingPro indicates the stock is currently in oversold territory, with concerning metrics including a current ratio of 0.53 and negative gross profit margins. InvestingPro subscribers have access to 18 additional key insights about MULN's financial position.
In other recent news, Mullen Automotive has reported significant developments in its operations. The company has seen a surge in electric vehicle sales, generating $5.5 million from selling 100 Class 1 and Class 3 EV cargo vans and trucks. Mullen Automotive has also secured an additional $4.4 million in financing through the issuance of senior secured convertible notes and related warrants.
Simultaneously, the company has issued new convertible notes and warrants to raise capital, which InvestingPro analysts highlight as crucial given Mullen's financial challenges and rapidly depleting cash reserves. The company also reached a settlement agreement regarding a derivative action filed against it, agreeing to implement governance enhancements and pay $500,000 in attorney's fees.
Mullen Automotive has also made substantial progress in battery production in the United States, committing $12 million to this initiative. Furthermore, the company fulfilled significant orders for Westland Floral and sold its first EV van to Mr. Appliance, marking strategic steps to diversify its clientele. These are the recent developments from Mullen Automotive.
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