Self-driving startups getting into EVs is the stock market’s next obsession
Self-driving tech companies are the latest auto stock to become a retail obsession, with companies like dawn Innovation Inc. Friday surged on high volume.
Aurora, which went public through a special purpose buyout earlier this month, rallied as much as 50% on Friday after the stock was widely quoted on social media platforms Twitter and StockTwits. ONE reported that iPhone maker Apple Inc. is promoting the development of a car with a complete self-driving system also helped attract investors’ attention to the group.
Aurora then overcame some gains to trade up 31% at 02:44 pm in New York. Shares are now up 47% this week.
While Aurora’s gain was the most obvious, other stocks also rallied strongly. TuSimple Holdings Inc., a company that manufactures self-driving technology for heavy trucks and sells vans, up to 7.9%. Optimism also spread to manufacturers of lidar sensors used in driver assistance systems, prompting shares of Innoviz Technologies Ltd., Aeva Technologies Inc. and Velodyne Lidar Inc. increase higher.
The move is reminiscent of electric vehicle stock’s rally earlier this week, when Rivian Automotive Inc. and Lucid Group Inc. both posted double-digit gains and surpassed some of their older peers in market value.
More than 24 million Aurora shares changed hands on Friday, double the volume of Tesla Inc. An unusually high volume usually indicates high interest from retail traders.