Adomani: Buy, says H.C. Wainwright, on electric vehicle optimism

Envirotech Vehicles

14/08/2018 14:28

** Adomani  ADOM.O  jumps 8% to 74 cents in premarket after
H.C. Wainwright starts coverage on auto parts maker with buy
rating and $3 PT, a >300% upside to current levels
    ** Broker says ADOM is an emerging electric vehicle player
that is driving the electrification of school buses and trucks
in the U.S.
    ** ADOM has structured an asset-light business model through
some key partnerships with established market participants such
as school bus maker Blue Bird  BLBD.O  and has expertise in the
bidding process and relationships in the value chain -
Wainwright
    ** This strategy has allowed co to enter the market faster,
with lower capital requirements and significant flexibility to
pursue stronger margin opportunities - Wainwright 
    ** Broker believes ADOM is still in the early stages of
commercialization, but is set to ramp quickly
    ** Stock has risen 9 pct this year

 (Reporting by Medha Singh in Bengaluru)
 ((medha.singh@thomsonreuters.com))