MULN Stock Forecast: Mullen Automotive surges after securing I-GO Urban Delivery EV Deal

Mullen Automotive (MULN) kicked the week off with another major announcement, and the stock rocketed higher, carrying over its momentum from last week. On Monday, shares of MULN surged by 32.9% and closed the trading session at a price of $0.50. All three major averages rose and extended the gains made on Friday as the market braces for big tech earnings later this week. Overall, the Dow Jones added 1.3%, the S&P 500 gained 1.2%, and the Nasdaq rose by 0.9% during the session. Now shares are extending this run and have added 28% to trade at $0.6417.

Mullen Automoitive stock price

Why was Mullen soaring higher on Monday? The company announced yet another partnership to start the week. This agreement will see Mullen obtain exclusive sales and distribution rights for the I-GO Urban Electric Vehicle models. These EVs are already planned to be distributed to the European Union, with the first vehicles hitting German streets in December. Mullen’s primary target customer is last-mile delivery companies in various European markets. It should be noted that the I-GO EVs are not a proprietary vehicle and that there is a third-party manufacturer, likely in China. The initial cost of the Urban EVs will be 11,999 Euros before VAT. 

The I-GO partnership is the third major one this year for Mullen following its acquisition of both Bollinger Motors and Electric Last Mile Solutions (ELMSQ). It also secured a partnership for Class 1 and 2 EV Cargo Vans with DelPack Logistics. Taking all of this into account, it is easy to see why interest from investors is heating back up. The stock has now gained more than 105% over the last week as it attempts to recapture the $1 price level to remain listed on the Nasdaq exchange. 

MULN 5-minute chart 10/24/22