The Mullen Automotive Inc (NASDAQ: MULN) stock price has fallen 45.4% in the past month. Despite his efforts to stop the bleeding and reassure investors, the CEO continues expressing disappointment in how the company’s stock trades.
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Mullen Automotive’s CEO and Chairman, David Michery, expressed his frustrations in an open letter to shareholders. He reiterated that it was investigating whether there is illegal trading of the company’s shares by traders keen to drive its share price to zero.
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The CEO noted that he had received numerous requests to address the company’s depressed and constantly falling share price from other frustrated shareholders. Still, there is little that he can do to stop the share price from falling, given that Mullen Automotive is a public company.
In a show of his confidence in the company, David Michery recently bought shares despite the depressed prices. He encouraged investors to continue supporting the company as he and the team continue expending their best efforts to implement their business strategy and achieve critical milestones.
Mullen Automotive recently released its financial results for the second quarter, which showed that it generated $308,000 from car sales compared to zero in the same quarter in 2022. However, the company’s losses ballooned to $308.86 million during the quarter versus the $4.87 million loss recorded in Q2 2022.
The ballooning losses could be the main culprit behind Mullen’s share price decline, given the scale of the losses. Some of the recent milestones achieved by the company include the production of vehicles completed within the expected timelines.
David Michery, Mullen Auto’s CEO and Chairman, said: “As CEO of this company, I take all shareholders' concerns seriously. One of my primary responsibilities is to execute the company's business plan, and as evidenced by multiple prior communications to the public, the company continues to make significant strides in that regard. I will summarize some of those at the end of this statement. I am very disappointed by the performance of our stock. As I have previously publicly stated, I do not believe the trading price of our stock even closely resembles the company's actual value.”
Mullen Automotive (MULN) stock price.
The Mullen Automotive (MULN) stock price was trading down 10.43% at $0.5810, adding to Friday’s 12.3% decline.
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