Wolfe upgrades Fisker, says Foxconn deal 'changed the narrative'

Wolfe Research analyst Rod Lache upgraded Fisker to Peer Perform from Underperform with a price target of $30, up from $21. The stock closed Tuesday up 3% to $28.25. The company's memorandum of understanding with Foxconn to form a joint-venture to co-develop an electric vehicle that will use the Fisker brand "changed the narrative," Lache tells investors in a research note. The vehicle is expected to launch by Q4 of 2023, and Foxconn is targeting 250,000 units, the analyst points out. Lache says that while there is still "significant execution risk" with Foxconn, the arrangement helps address a number of investor concerns, including a larger market opportunity, the potential for lower costs, and partnering with a company that has "deep pockets."