Why Polestar Stock Is Hot Today

There is no stopping Polestar Automotive (PSNY 12.46%). After going ballistic last month, shares of the Swedish electric vehicle (EV) maker are off to a great start in September, rising 19.7% to their highest trading point on Tuesday at 12:10 a.m. ET.

Polestar has named a new chief financial officer as it prepares to launch new models and expand its footprint, and investors believe this could be just the start of better days ahead for the electric vehicle stock.

Polestar’s game plan: new leaders and new cars

This morning, Polestar announced the appointment of Jean-Francois Mady as its Chief Financial Officer, effective October 21, 2024. Mady was most recently with the automotive giant Stellar. Current Polestar CFO Per Ansgar joined the company on an interim basis earlier this year and will resume his role as CFO of Geely Sweden Holding. Geely Holding and Volvo are major stakeholders in Polestar.

Mady’s appointment is among several recent leadership changes announced at Polestar, including the appointment of a new CEO, Michael Lohscheller, effective October 1.

Given the stunning rise in Polestar shares in recent weeks, investors appear to be banking on the electric vehicle maker’s new leadership to turn the company’s fortunes around. Fueling their excitement this morning, however, was the other update from Polestar.

Polestar has just announced plans to expand its presence in the UK and aims to take its dealer locations from nine to 17 over the next 18 months.

What’s next for Polestar stock?

Polestar has a busy year ahead as it begins deliveries of its new car, the Polestar 3 SUV, and ramps up deliveries of the Polestar 4 SUV, which it only recently started delivering. Investors hope the new models will support Polestar’s declining revenues and margins. The company’s revenue fell 17% year over year in the second quarter, although its shipments rose 82% sequentially. With management remaining hopeful for the rest of the year, investor interest in Polestar could remain strong as it tries to find value in the electric vehicle stock that lost 65% of its value in the first half of 2024.