Mullen Automotive Inc. (NASDAQ: MULN) plummets over 29%, expected to remain under pressure.

Technical Analysis

Mullen Automotive, Inc. (NASDAQ: MULN) experienced a significant drop in stock price, closing at $0.16 on June 20, 2023, a change of -0.07 (-29.91%). The stock had a trading day low of $0.16 and a high of $0.24. The year-to-date high and low for the stock are $42.75 and $0.16, respectively.

The average trading volume for MULN stands at 41.03 million shares, but the latest trading day saw a volume spike of 329.30 million shares. The 50-day moving average is $1.41, and the 200-day moving average is $6.06. The stock's RSI14 is 8, indicating an extremely oversold condition. The 3-month MACD stands at -0.31.

Fundamental Analysis

Mullen Automotive has a market capitalization of $39.09 million and 243.57 million outstanding shares. The company has an EPS of $298.72 but no PE ratio. Its most recent earnings announcement was on May 15, 2023.

Some recent news about the company may have contributed to the stock's downturn. On June 20, 2023, Mullen Automotive announced the integration of its PERSONA personal vehicle assistant (PVA) into its lineup of vehicles. However, the stock plunged following a livestream held by Lawrence Hardge, Global EV Technology Founder and Mullen Advanced Energy Operations Senior Vice President of Technology.

On the same day, the company launched its AI-powered vehicle technology which was developed originally for the Mullen Five sport-utility vehicle. Despite the announcement of the Persona technology integration, the stock continued to drop.

Short-Term Price Prediction

Given the technical and fundamental indicators, MULN's stock price is expected to remain under pressure heading into the next trading day (June 21, 2023) and the upcoming week. The extremely oversold RSI14, the negative news sentiment, and recent statements from Lawrence Hardge indicate a bearish short-term trend for the stock.

Stock Evaluation

Considering the significant drop in stock price, oversold RSI14, high trading volume, and recent news sentiment, MULN can be classified as a Strong Sell. The ongoing uncertainty around the Mullen deal, combined with potential market headwinds in the EV sector and the weak technical position, may result in further declines for the stock.