- The stock price of Ideanomics Inc (NASDAQ: IDEX) increased by 28.33% on Friday, November 20. This is why the stock price likely increased.
The stock price of Ideanomics Inc (NASDAQ: IDEX) increased by 28.33% yesterday. Even though the company did not make any direct announcements on Friday, there were several external factors that sent the stock price up.
What does Ideanomics do? Ideanomics focuses on monetizing the adoption of commercial electric vehicles and associated energy consumption. The company’s Mobile Energy Global operations also offer financial services and incentives for commercial fleet operators, including group purchase discounts and battery buyback programs. This operation also offers solutions for procuring, financing, charging, and energy management needs for fleet operators of commercial electric vehicles.
And the company’s Ideanomics Capital division offers financial services solutions. This unit is involved in the areas of capital markets like financial products advisory and creation with specific focus on the application of blockchain and artificial intelligence in financial technology. This division runs EKAR — an exchange traded fund that tracks the Innovation Labs Next Generation Vehicles Index. This Index comprises of global stocks that have exposure to the theme of electric and self driving/autonomous vehicles. It’s worth mentioning that the EKAR ETF is up 49.28% over the past year.
Earlier this month, Ideanomics revealed the Mobile Energy Global (MEG) division’s sales activities for the month of October. That division delivered 102 units — all of which were taxi / ride-hailing vehicles. And the 340 units that were invoiced during July through September 2020 are pending expected delivery. For the month of October, China had 2 major national holidays overlap — which resulted in fewer business days. And it was expected to be a lower delivery volume month as a result.
“As we enter the final months of 2020, our sales efforts are focused on progressing opportunities for larger vehicle orders towards completion, and expanding our deliveries into battery systems and charging piles as part of testing programs with our customers and partners,” said said Alf Poor, CEO of Ideanomics. “As we look to round out Q4 and 2020, our goal is to deliver quarter over quarter growth while building our order book so that we can hit the ground running in 2021.”
A couple of weeks ago, Ideanomics also acquired 100% of a privately-held company called Timios Holdings in an all-cash deal. Timios is a a nationwide title and settlement solutions provider that offers freedom-of-choice-friendly solutions for real estate transactions, including residential and commercial title insurance and closing and settlement services, as well as specialized offerings for the mortgage industry. And Ideanomics expects that Timios will become one of the cornerstones of Ideanomics Capital.
Why Did Ideanomics Stock Price Increase On Friday?
This past week, the stock price increased a total of 29.41% as it went from $1.19 per share on November 16 to $1.54 on Friday November 20. And there was especially a rallying around companies in the electric vehicle space on Friday itself. The hype around the electric vehicle space was largely triggered by the better-than-expected earnings results reported by Nio, Xpeng, and Li Auto earlier this month. And Tesla was added to the S&P 500 (Tesla is up +20.95% this week), and Nikola is still having ongoing discussions with GM about a partnership (Nikola is up +19.91% this week).
Besides Ideanomics, there were several other electric vehicle companies that also saw a spike on Friday as well. Kaixin Auto Holdings — a China-based car dealership and e-commerce service — surged 101.33% on Friday alone. AYRO — a company that is building an all-electric mobile food cart — increased by 30.91% on Friday. And Electrameccanica Vehicles — a company that is making a three-wheeled electric vehicle called the Solo — increased by 39.51% on Friday. Other companies in the electric vehicle space that increased on Friday also include Workhorse Group Inc (+13.17%), Hyliion Holdings (+3.29%), and Blink Charging (23.61%).