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MEGA DD: BANGBUS EV going public - Everything you need to know (price targets to speculative Apple acquisition) and my $347K => $1.5mm bet 🚀🚀🚀
$18/$25/$30 price targets for management to get paid - From the recent SEC filings, management will unlock their shares at those price targets. Management has every motive to PAHMP IT! Commons are under $11 (as of now) and warrants are around $1.90. With the common's $30 price target, warrants would be worth $18.50 (10-baggers with no theta burn). With my combination of commons and warrants (positions below), at $30, this play would be worth $1.5mm. If you sat out on the other EV plays, don't miss out on this one.
This company made more money this year than FSR, WKHS, RIDE and NKLA, combined. Unlike any other EV SPAC, this company is already making money as they have engineering contracts with Hyundai and earning $34mm this year, and $120mm next year (+258%). This revenue both validates their product, and is a solid revenue stream prior to releasing their vehicles.
Miles ahead of all EV competition - This company has built 13 driving prototypes and completed 50+ crash tests. Fisker and Lordstown have built one prototype each, and have completed zero crash tests. This is the only company that's on-track to deliver vehicles on-time (2022). They've also engineered their own skateboard platform completely in-house (unlike others who are relying on their manufacturing partners). In fact, they've built their platform in a record breaking 19 months, and the platform alone is worth over a billion dollars (cost for someone else to develop it). You can see the skateboard being thrown around like how your wife's boyfriend does to her in this inspiring video. They're engineers first (like Tesla), not dreamer designers coming up with a sketch and wanting someone else to build it **cough** Nikola/Fisker **cough**. The amazing thing with the modular skateboard is that any type of body can be quickly and cheaply adapted to it (e.g. bus/van, SUV, car, truck, parcel delivery van and etc) like these and these.
Ridiculously low bar - Other companies have created unrealistic projections which will become their ultimate demise. Fisker ($17) plans to sell 250K units in 2025, when his last company sold a measly 2500 units before shuttering in a year. Yes he plans to sell 100x his last failed company, because it's different this time. This company set a low bar of projecting a paltry 10K units on it's first year to hit its price targets. They've already hit 10K members on the waitlist in California alone. This company under-promises and over-delivers. I'd much rather invest in a company with management I can trust, rather than another Trevor Milton-like hype man.
Synthetic QS play ($20) - For those who couldn't get into QuantumScape/KCAC in time, the Director of Battery Systems of QuantumScape (you know, what the company is known for), left to co-found this company.
Synthetic ARVL play ($17) - For those who couldn't get into Arrival/CIIC, Hyundai invested in both Arrival and this company. Hyundai first announced it's investment in Arrival in January, yet, it still invested in this company just a month later in February. Why else would Hyundai invest in this company so soon after already investing in Arrival, unless it believes this company will be a winner? 🤔
Workhorse killer ($25) - From last week's Barclay's presentation, this company will officially unveil the parcel delivery vehicle next month. This company's EV has the wheelbase/footprint and nimbleness of a Class 1 vehicle (e.g. Ford Transit Connect), but the cargo capacity of a Class 2 vehicle (e.g. Mercedes Sprinter). This company's EV would be the best solution for a parcel delivery vehicle in cities where it's difficult to navigate/park and you'd want a compact vehicle, but also need large volume to haul a lot of packages.
Turo/Hertz/U-Haul alternative - In this presentation (5:00 mark), the Chief Product Officer indicated that the app would determine when the vehicle is not being used and would allow (with your permission) sub-leasing/sub-subscription of the vehicle. This is HUGE. Imagine having a money printer on your driveway. The vehicle is built around sharing/subscription (e.g. Phone as Key) and it would be extremely difficult for other manufacturers to implement this in their current line-up.
I'M rEtArDeD aNd DoN't uNdErStAnD sUbScRiPtIoNs - This company plans to offer these vehicles as a subscription only. The subscription is simply the evolution of a lease. A subscription includes the lease, insurance, maintenance, DMV bullshit and etc all in one monthly flat-fee. The new vehicle lease market is huge, considering there are 4 million new vehicle leases a year. The subscription is ingenious because similar to any other asset-backed security, this company can easily securitize the recurring subscription cash flow and essentially sell the vehicles to investors, clearing up capital from their balance sheet. Rather than a one-time vehicle sale, the subscription model earns 4x the revenue as opposed to just selling it. Furthermore, the subscription model generates consistent cash flow and more resilient than one-time vehicle sales. Imagine if the market saw this company as a subscription company like Netflix and it got their 78x P/E, it would have a $26B market cap in 2022, $65B market cap in 2023, $111B market cap in 2024, $182B market cap in 2025 and $321B market cap in 2026.
Subscriptions make sense for UbeLyft drivers - In my area, leasing an Uber vehicle is $150/week (standard) or $229/week (premium, like this EV). $229 x 52 weeks / 12 months = $992/month. At $600/month including the insurance, maintenance, charging credits and so on, this is a NO BRAINER for UbeLyft drivers and will be wildly popular. Furthermore, the $229/week vehicle only has 5-seatbelts, whereas this has 7-seatbelts, so one could fetch the UberXL fares (+37% more over UberX) while paying the same amount per month or less for a better vehicle. I'm confident there will be a partnership announcement with either Uber or Lyft soon, especially since Uber pledged to transition to 100% by 2030. I'm betting on the side of Uber, since there's deep connections to them like this person and this person. This was even featured in the Lido music video as a robotaxi.
ThIs CaR iS uGlY - Yeah, tell that to SOLO investors and their single-seater death traps. New EV SUVs are in an overcrowded market. Why would you wait years for the Fisker Ocean, when you can already get a Tesla Model Y today? Every legacy manufacturer will be releasing an EV SUV soon, along with NIO's ES8 and Xpeng's G3. The bangbus carves a niche in the market, where no-one has yet to go. They're also making dope wraps to go with the car like this collab with JGOLDCROWN as well as the design company Off-WhiteTM. Jay Leno, a car guy who can sniff out bullshit, met with the folks from this company. It's what made me invest.
Steer-by-wire - This is the first company to use steer-by-wire. Check out this video (0:23 mark) where they have the steering column in different locations. This means that it would be easy to adapt this vehicle to both left-hand-drive and right-hand-drive and opening to a global market. Most vehicles (especially ICE) it's difficult to convert because the steering rack needs to move over, which could interfere with other components under the hood. The HVAC in the vehicle would also need to be re-engineered. However, the HVAC in this EV is built right into the skateboard that's shared among all the platforms, making it very easy to adapt to new body styles.
Speculative Apple acquisition - Everyone knows about Apple's Project Titan EV car. This vehicle centers the driver around their phone, commence the Apple salivation. Rather than one-time hardware purchases, Apple has been pushing recurring subscription cash flow like Apple TV+, Apple Music, Apple News+ and etc, and this company's revenue model is exactly what Apple wants. This company is also located in California, and logistically the best company to acquire. It also doesn't have a retarded egotistical CEO. In fact, the CEO, Dr. Kranz, led BMW's EV division to build gorgeous cars like this. He also looks like Doc Brown from Back to the Future, so that's hella meme worthy. You see that big ass head? You know he's got big brains in it.
Also, here's some rumblings about the Apple Car-
the Apple Car could come in the form of an electric van. Apple’s engineers have designed specimens with black and silver paint, designed in the typical industrial design of the iPhone group. Apple also researches on its own batteries, electric motors, special seats and interior components.Now look at the Apple's EV rendering and this company's EV. I'll eat my dick on national television if you find another EV closer to Apple's than this company's.https://imgur.com/gallery/qgMkjLP
HCAC - 26,000 shares @ $10.57 => $30 | $275K => $780K
HCACW - 40,000 warrants @ $1.75 => $18.50 ($30 - $11.50) | $70K => $740K
Proof here, sorry it's not Robinhood so fellow autists might not be able to read it.
TLDR: If you made it this far without clicking a single link, buy Canoo (HCAC/HCACW).