While Founder and CEO of Arcimoto (NASDAQ: FUV), Mark Frohnmayer, admits that the 2nd quarter “wasn’t all roses,” there are some who are incredibly bullish on $FUV and all for good reason.
First of all, these ultra-efficient fun utility vehicles (FUVs) were designed to provide safe, affordable and sustainable transportation options to big city dwellers. The engineers at Arcimoto can build 4 FUVs using the same material as 1 Tesla (NASDAQ: TSLA). They provide 4-times the on-road efficiency of other electric vehicles (EVs), and they’re taking back the urban landscape — one lot at a time.
According to Frohnmayer, “We have continued to accelerate our pace of innovation and market presence while navigating a pandemic-challenged global supply chain.”
But the truth is, in the last year, many factors have held back the progress of EV manufacturers, including the global pandemic, the shortage of semiconductors, tariffs on OEM parts and a broken supply chain — just to name a few. As a result, manufacturers are beginning to produce semiconductors and chips domestically, returning an industry to its pre-pandemic status.
EVs produce 60% to 68% fewer emissions than gas-powered vehicles. Not to mention, the global electric trike market is projected to hit $2.6 billion by 2026.
Outside of a killer, star-studded team of engineers and executives, these are the 7 reasons to invest in Arcimoto today.
2021 has been a Good Year, despite Various Challenges and Constraints
Image via Archimoto
The company opened a new 200,000 square foot facility on 10 acres of land. It landed a new plastic thermoforming cell within the new facility and aims to have it operational before the end of the year. In addition, it partnered with numerous brands and territories, aiming toward world records and even held a large-scale test-drive event at the Portland International Raceway in July.
Not only was Arcimoto uplisted to the Nasdaq Global Market from the Nasdaq Capital Market, but it was also listed on the Russell 2000® and Russell 3000® indexes because of the company’s significant growth and market capitalization.
#1 | Lithium-Ion Battery Recycling
Image via Archimoto
Arcimoto and Redivivus partnered to create a joint battery recycling program and pioneer a new hybrid hydrometallurgical process, a major step up from conventional battery processing solutions. The program will allow consumers to safely dispose of and neutralize battery waste in a “sealed and scrubbed environment.”
Redivivus is a lithium-ion battery recycling company that provides white-glove logistics, disassembly and cost-effective material recovery services for end-of-life batteries. Its Redi-Cycle™ lithium-ion battery recycling process is promising, touting a 92% recovery of nickel and cobalt alloys and a high rate of copper, manganese, iron and lithium materials used in lithium-ion batteries.
#2 | City and Statewide Partnerships
Image via Archimoto
Arcimoto is partnering with both cities and states to create greener, more sustainable living spaces around the country.
In California, the company launched a joint municipal pilot program with Mayor Catherine Blakespea and the Encinitas Lifeguards, Infrastructure and Sustainability departments to reduce carbon pollution while advancing all options for sustainable transportation throughout the City of Encinitas.
Likewise, the company entered into a pilot program with both state and local governments in Tennessee and organizations, such as the Tennessee Clean Fuels and Drive Electric Tennessee programs, to test the impact of various models in key cities, such as Memphis, Nashville, Knoxville and Chattanooga.
Arcimoto continues to forge and cultivate partnerships with other major cities across the U.S., forming innovative pilot programs and bringing each city new possibilities for the future of urban mobility.
#3 | States No Longer Require Motorcycle Endorsements
Image via Archimoto
Some states now allow everyday drivers to operate next-gen, 3-wheeled autocycles without any additional motorcycle license. Florida, Hawaii and Louisiana are amongst the latest of those states, reclassifying driving requirements for 3-wheeled vehicles. This means that Arcimoto will now be available to those who want a sustainable vehicle for “all those short trips” but don’t necessarily want to apply for a “Class M” license.
#4 | A Fleet of Super Cool Vehicles, New Torque System
Image via Archimoto
There are 3 primary applications for the FUV:
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Recreational transport
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Commercial delivery
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Emergency rapid response
These 7 different vehicles are either currently in development or already in production:
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The FUV: Arcimoto’s flagship vehicle
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The Deliverator: A tiny-but-spacious vehicle for the delivery of food and other goods
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The Rapid Responder: An emergency response vehicle
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The Roadster: Arcimoto’s “on-road fun machine”
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The Electric Flatbed Utility Vehicle
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The “World’s Fastest Electric 3-Wheel Tilting Motorcycle”
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The Cameo: An EV designed for the film industry
To be released in 2022, Arcimoto unveiled its new drive-by-wire and torque vectoring technologies, collaborating with Stafl Systems to maximize the handling and low-speed steering of future vehicles. Such will revolutionize driverless and remote vehicle capabilities and provide heated storage mechanisms for specialty vehicles, such as the Deliverator.
This implementation is part of a broader effort to lay the foundation for autonomous and remote-controlled Arcimotos and a major upgrade from Arcimoto’s Generation 8 prototype in 2016.
Likewise, Arcimoto partnered with SherpTek to develop the Arcimoto Flatbed, implementing feedback collected from a 2020 joint municipal pilot program with the City of Orlando.
#5 | The World’s Fastest Electric 3-Wheel Tilting Motorcycle
The acquisition of Tilting Motor Works would lead to a partnership with Lightning Motorcycles and the design of a new electric 3-wheel motorcycle, pegged to become the “world’s fastest electric 3-wheel tilting motorcycle” — gas or electric.
Built on the Lightning LS-218 superbike architecture, Arcimoto’s patented Tilting Motor Works TRiO tilting trike technology allows the rider to naturally lean and shift their weight while maintaining top speed, performance and stability.
The Lightning LS-218 currently holds the world record as the fastest motorbike on the market, reaching speeds of up to 215.960 mph/347.5 kph.
#6 | First Driverless FUV — Autonomous
Image via Archimoto
Frohnmayer wouldn’t want an autonomous vehicle to drive him from Point A to Point B. Instead, he considers driverless technologies to be a bit more of a convenience, a first major milestone toward Arcimoto’s vision of shared rightsized transportation and a step forward in true ride-on-demand, ride-hailing services.
Should the rider need a Flatbed, it’s there. Should they need a Roadster, it’s also there — ready for a driver to hop in and take over control.
The driverless FUV is a collaboration between Arcimoto and Faction Technology.
#7 | Ride Sharing and Hotel Services
Image via Archimoto
Frohnmayer believes the key path for Arcimoto vehicles is in shared mobility.
Growing ride-sharing and rental operations across key markets, Arcimoto opened its first 2 stores in Eugene and San Diego. The company also provides FUV rental services to major 3rd-party vendors in prime locations across the U.S.
“We are especially stoked to increase our rental presence in tourist destinations,” states Frohnmayer, who explains that ridesharing would provide zero-emission alternatives to the many thousands of gas-powered, CO2-emitting scooters, motorcycles and 3-wheelers that tourists rent every day.
Arcimoto most recently partnered with the Graduate Hotel chain, providing rental vehicles to guests in major cities. FUV rentals are also available at Arcimoto Key West, GoCar Tours in San Francisco and HyreCar in Los Angeles.
Second Quarter 2021 Financial Results
Image via Archimoto
Arcimoto is one of those companies that only comes along once in a lifetime. Despite climbing numbers due to the Delta variant of COVID-19, Arcimoto has been busy building its brand, forging partnerships and closing on pre-orders from $FUV enthusiasts across the U.S.
In August, Arcimoto reported a 167% revenue increase in Q2 2021, securing $717,000 in FUV sales, compared to a reported $269,000 in revenue, Q2 2020. The company also incurred a net loss of approximately $8.2 million or ($0.23) per share, as compared to the $3.7 million or $0.15 per share for the same prior-year period.
The company is confident that these losses have not gone in vain and were essential in paving the way for the future of urban mobility. To date, they have accrued more than $86.5 million in total assets with $38.5 million in cash and cash equivalents and a total debt of $3.9 million as of June 30, 2021.
For more information about Arcimoto and its diverse line of FUVs, visit https://www.arcimoto.com.
Image via Archimoto
The author of this article owns shares in one or more of the stocks mentioned.
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