Mullen Automotive (NASDAQ:MULN) experienced a significant setback in its stock price despite achieving a major victory with the federal government. The company obtained a new certification from the IRS that allows it to offer tax credits for the purchase of its vehicles, potentially saving buyers up to $7,500. Additionally, Mullen introduced a fleet telematics solution called “Commercial Pulse,” which provides companies with better vehicle tracking and optimization tools. Despite these positive developments, Mullen’s stock was down over 4% in Tuesday’s trading.
Mullen Automotive Faces Stock Decline Despite Tax Win
Despite securing a new certification that allows it to offer tax credits and introducing a fleet telematics solution, Mullen Automotive’s stock price experienced a decline of over 4% in Tuesday’s trading. The certification from the IRS enables Mullen to provide tax credits of up to $7,500 for the purchase of its vehicles, making them more attractive to potential buyers. Additionally, the fleet telematics solution, known as “Commercial Pulse,” offers valuable features such as vehicle diagnostics and fleet optimization tools. However, despite these positive developments, investor sentiment caused a decline in Mullen’s stock price.
Insider Trading Figures Suggest Confidence in Mullen Automotive
Despite the decline in Mullen Automotive’s stock price, insider trading figures indicate confidence in the company. Insiders bought $100,000 worth of Mullen Automotive stock in the last three months, leading to a positive Insider Confidence Signal. This suggests that insiders believe in the potential of the company and are willing to invest their own money. While retail investors may have sold off their shares, insiders are taking the opportunity to acquire the stock at a potentially discounted price.
