Wells Fargo Sees 54% Downside In REE Automotive - Read Why

  • Wells Fargo analyst Colin Langan initiated coverage of REE Automotive Ltd REE with an Underweight rating and $1 price target, implying a 54.55% downside.
  • Langan said the total fetchable market by 2030 was much smaller than the company’s estimate of $700 billion.
  • The analysts also added that REE will burn through half of its cash in 2022 and is doubtful that it will be able to slow down cash burn in 2023.
  • Langan notes another capital raise will be needed for the company.
  • Price Action: REE shares are trading lower by 5.00% at $2.09 in premarket on the last check Friday.

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