EHang is a stock listed on the NASDAQ and a fantastic opportunity for long term growth investors this has to be added to Free Trade SOON!
About EHang Holdings,
EHang Holdings Limited operates as a holding company. The Company, through its subsidiaries, focuses on aerial vehicle technology, as well as offers passenger transportation and logistics services. EHang Holdings serves customers in China, Europe, North America, West Asia, and international as far as I’m aware.
If you have feedback, do share. I hope you all have a good day.
I’d like to wait for Ehangs response but some initial thoughts:
Wolfpack don’t seem to have a very good track record of shorts, many of their previous bets are up 100%+ which is very telling.They don’t strike me as a research firm that does serious DD but instead a classic short seller that dumps a “report” and banks a nice profit for themselves.
Their report is full of laziness which is also very telling considering they released it right in the midst of Chinese New Year (I wonder why, it couldn’t possibly have something to do with the inability of the company to respond immediately). Just some errors:
They claim to have visited their “main manufacturing” centre in Guangzhou and complained about it. Their AAVs are made in Austria and this is well known.
They criticise the low R&D budget, without factoring in lower labour costs.
They vaguely criticise the safety of the aircraft configuration, despite it being a long-used octacopter design which is more safe than regular quadcopter drones most are familiar with.
They threaten the ADRs could be worthless but this is technically true of all Chinese ADRs. This is padding. Is Alibaba worthless?
Etc I could go on but I personally get the idea and if it double dips I will be adding to my position. I’d like clarification on the main customer (if this is true, in their last earnings for example they claimed to have delivered several firefighting units) and particularly the receivables position.
The fact is even if it had no revenue with the other eVTOLs going public at multi billion valuations this is renowned as a leader in the space so the price will always rebound.