Edison Motors Valuation and Share Price Analysis

Introduction

• Share Price: $40 USD ($55 CAD)
• Valuation: $200 million USD
• Number of Shares: 5 million

Why $40 a Share?

• Comparison with Other Companies: Many have more shares, affecting share price.
• Valuation Calculation: Market cap divided by shares gives share price.

Determining Valuation

• Challenges of Pre-Revenue Companies: Difficult due to lack of sales data.
• Potential and Risk Assessment: Focus on future potential and risks.
• Comparison with Similar Companies: Analyze companies at similar growth stages.

Competitor Analysis

Nikola Motors

• 2018: Demonstrated truck rolling down a hill, valued at $1.1 billion.
• 2020: Fraud revealed, yet valued at $10 billion.
• 2023: Unveiled hydrogen prototype, valued at $2.1 billion.

Lion Electric (LE)

• 2020: Valued between $700 million and $1 billion.
• Focusing on school buses and smaller electric vehicles.
• Similar stage as Edison Motors but with different product promises.

Exos

• 2020: Raised $20 million to increase production.
• Currently, market cap is $22.5 billion.

Atlas

• 2021: Revealed first prototype, valued at $950 million.

APPA

• Valuation at $1 billion, about 5x Edison Motors.

Hen

• 2020: Valued at $3.8 billion, eventually went down to $150 million.

Industry Valuations

• Established Players: Kenworth and Peterbilt (PACCAR) valued at $54 billion.
• Comparison with General Motors and Ford: PACCAR's valuation similar to GM, higher than Ford.
• Profit Margins: Higher margins for truck manufacturers compared to car manufacturers.

Edison Motors' Approach

• Realistic Valuation: Aimed at $200 million, lower than competitors.
• Conservative Production Timeline: Focus on a slower, more controlled growth.
• Investor Response: Positive reception to realistic valuations and expectations.

Conclusion

• Pre-Revenue Valuation: Not an exact science, but based on industry comparisons.
• Community Support: Edison Motors backed by fan investments, not venture capital.

Acknowledgments

• Thanks to investors and supporters who believed in Edison Motors from the start.