Canoo (NYSE:GOEV) is one of only a handful of new EV entrants that have managed to change the narrative from one focused on merely the initial production ramp-up to that of long-term viability.
Against this backdrop, the EV manufacturer has now received a major endorsement from Walmart after managing to secure an order of 4,500 Canoo Lifestyle Delivery Vehicles (LDVs). Moreover, the order entails the possibility of expanding deliveries to 10,000 units, with initial deliveries currently slated for 2023. The company noted in its press release:
"Canoo's electric vehicles will be driven by Walmart associates and used to deliver online orders, from groceries to general merchandise, as well as the potential to be used for Walmart GoLocal, the retailer's delivery-as-a-service business."
Bear in mind that Canoo's LDV features a drive-by-wire skateboard platform and boasts of 120 cubic feet of cargo space. Production is set to commence in Q4 2022. Walmart's order represents $135 million in revenue for the company, based on an expected MSRP of around $30,000.
As a refresher, Canoo's star attraction is its highly flexible and modular skateboard platform that enables the rapid development of electric vehicles – the entire process concludes in 18 to 24 months – at a substantially reduced cost. Crucially, the company's skateboard platform offers direct integration of battery modules and features the flattest and lowest profile in the industry, thereby maximizing interior space and lowering costs.
Canoo is also slated to provide fully electric Crew Transportation Vehicles (CTVs) to NASA by June 2023. These CTVs will be manufactured at Canoo's mega micro-factory at Pryor, Oklahoma, and based on its all-electric LV model, and will transport the Artemis crew to the launch site for the first human lunar landing in more than 50 years. The company also plans to launch commercial production of its EV lineup from the Bentonville, Arkansas, facility in late 2022.
At the time of writing, Canoo shares are up nearly 100 percent in pre-market trading. Year to date, the stock is down over 70 percent.
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