Polestar Automotive Holding UK PLC Sponsored ADR Class C (PSNYW) AI Stock Analysis

• Market Cap: $1.67B
• Dividend Yield: N/A
• Average Volume (3M): 1.87M
• Price to Earnings (P/E): ―
• Beta (1Y): -0.15
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 2,547
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): N/A
• Shares Outstanding: 20,499,966
• 10 Day Avg. Volume: 4,844,664
• 30 Day Avg. Volume: 1,871,395
• PEG Ratio: -0.02
• Price to Book (P/B): -0.67
• Price to Sales (P/S): 1.09
• P/FCF Ratio: -1.64
• Enterprise Value/Market Cap: 2.96
• Enterprise Value/Revenue: 1.93
• Enterprise Value/Gross Profit: -5.95
• Enterprise Value/Ebitda: -11.82
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 44 Neutral
• Price Target: $0.00 ▼(-100.00% Downside)

Polestar's overall stock score is primarily impacted by its poor financial performance, characterized by negative margins and high leverage. Technical indicators show a lack of momentum, and valuation is difficult to assess due to missing metrics. While the earnings call showed some positive growth, significant challenges remain.

Positive Factors

Revenue Growth

Strong revenue growth indicates successful market penetration and demand for Polestar's EVs, supporting long-term expansion potential.

Market Expansion

Expanding sales points enhances market presence and accessibility, potentially increasing customer base and supporting future growth.

Carbon Credit Sales

Carbon credit sales provide an additional revenue stream, supporting profitability and aligning with sustainability goals.

Negative Factors

Negative Gross Margin

Negative gross margins highlight cost management issues, potentially impacting long-term profitability and financial health.

High Cash Burn Rate

High cash burn rate raises concerns about liquidity and financial sustainability, potentially limiting strategic flexibility.

Challenges in the U.S. Market

Tariffs and policy challenges in the U.S. market could hinder profitability and growth in a key region for Polestar.

Polestar Automotive Holding UK PLC Sponsored ADR Class C Business Overview & Revenue Model

Company Description

Polestar Automotive Holding UK PLC manufactures and sells premium electric vehicles. The company was founded in 2017 and is headquartered in Gothenburg, Sweden.

How the Company Makes Money

Polestar generates revenue primarily through the sales of its electric vehicles (EVs), which include models such as the Polestar 2 and the upcoming Polestar 3. The company operates a direct-to-consumer sales model, which allows it to maintain higher margins by selling vehicles online and through a limited number of retail locations. Additionally, Polestar may explore various revenue streams such as leasing options, service contracts, and subscription services for its vehicles. Partnerships with technology firms for software development and charging infrastructure also contribute to its revenue, enhancing the overall customer experience while promoting the use of its electric vehicles.

Polestar Automotive Holding UK PLC Sponsored ADR Class C Financial Statement Overview

Summary

Polestar Automotive is facing significant financial challenges. The company struggles with profitability and cash flow generation, while its balance sheet reflects high leverage and financial instability. Despite some revenue growth, the financial health remains precarious, requiring strategic improvements to achieve sustainable growth and stability.

Income Statement

Polestar's income statement reveals significant challenges. The company has consistently reported negative gross and net profit margins, indicating ongoing struggles with profitability. Although there is a slight revenue growth in the TTM period, the overall trajectory has been volatile with periods of decline. The negative EBIT and EBITDA margins further highlight operational inefficiencies.

Balance Sheet

The balance sheet shows a concerning financial structure with negative stockholders' equity and a high debt-to-equity ratio, indicating financial instability and high leverage. The return on equity is positive due to negative equity, but this is misleading as it reflects financial distress rather than profitability.

Cash Flow

Cash flow analysis indicates persistent negative operating and free cash flows, although there is a slight improvement in free cash flow growth in the TTM period. The ratios of operating and free cash flow to net income suggest that cash generation is insufficient to cover losses, posing liquidity risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.55B	2.03B	2.38B	2.44B	1.34B	610.25M
Gross Profit	-828.47M	-876.17M	-413.08M	119.44M	11.06M	56.52M
EBITDA	-417.20M	-1.67B	-826.89M	-229.51M	-716.10M	-226.89M
Net Income	-2.27B	-2.05B	-1.19B	-479.02M	-1.01B	-484.86M
Balance Sheet
Total Assets	3.64B	4.05B	4.12B	3.94B	3.31B	2.55B
Cash, Cash Equivalents and Short-Term Investments	718.63M	739.24M	768.93M	973.88M	757.93M	316.42M
Total Debt	5.65B	5.01B	3.58B	1.44B	825.41M	436.52M
Total Liabilities	7.91B	7.38B	5.38B	4.08B	3.19B	1.97B
Stockholders Equity	-4.27B	-3.33B	-1.26B	-133.34M	122.50M	580.71M
Cash Flow
Free Cash Flow	-1.47B	-1.35B	-2.03B	-1.80B	-441.83M	-300.76M
Operating Cash Flow	-1.32B	-991.21M	-1.89B	-1.09B	-312.16M	-57.05M
Investing Cash Flow	-379.15M	-412.56M	-417.62M	-715.97M	-129.67M	-243.71M
Financing Cash Flow	1.67B	1.42B	2.10B	2.09B	909.57M	359.64M

Polestar Automotive Holding UK PLC Sponsored ADR Class C Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.22
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PSNYW, the sentiment is Negative. The current price of 0.22 is below the 20-day moving average (MA) of 0.22, below the 50-day MA of 0.24, and above the 200-day MA of 0.20, indicating a neutral trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 45.35 is Neutral, neither overbought nor oversold. The STOCH value of 36.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for PSNYW.

Polestar Automotive Holding UK PLC Sponsored ADR Class C Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
RIVN	57 Neutral	$22.01B	―	-65.28%	―	28.21%	44.43%
LI	55 Neutral	$18.13B	30.98	6.53%	―	-10.00%	-54.75%
XPEV	50 Neutral	$19.09B	―	-9.01%	―	86.57%	51.35%
NIO	45 Neutral	$10.81B	―	-294.28%	―	13.21%	3.77%
LCID	44 Neutral	$4.35B	―	-61.12%	―	45.86%	22.13%
PSNYW	44 Neutral	$1.67B	―	94.66%	―	―	―

Polestar Automotive Holding UK PLC Sponsored ADR Class C Corporate Events

Polestar Announces ADS Ratio Change Effective December 9, 2025

On December 4, 2025, Polestar Automotive Holding UK PLC announced the implementation date for a change in the ratio of its American Depositary Shares (ADS) to ordinary shares, set for December 9, 2025. The new ratio will change from one ADS to one ordinary share to one ADS to thirty ordinary shares. This change is expected to proportionally increase the ADS price, although no assurance can be given regarding the exact price movement. The adjustment will not affect the percentage ownership or voting power of ADS holders, and fractional ADS entitlements will be sold with proceeds distributed to holders. This strategic move is part of Polestar’s efforts to enhance its market positioning and operational efficiency.

Polestar Announces ADS Ratio Change to Boost Share Value

On November 14, 2025, Polestar Automotive Holding UK PLC announced a change in the ratio of its American Depositary Shares (ADS) from 1:1 to 1:30 ordinary shares, effective by the end of 2025. This change is expected to proportionally increase the ADS price and will not affect the percentage ownership or voting power of ADS holders, although fractional ADS entitlements will be sold, and proceeds distributed to holders.

Polestar Reports Strong Revenue Growth Amid Profitability Challenges

On November 12, 2025, Polestar Automotive Holding UK PLC reported a 49% increase in revenue for the first nine months of 2025, driven by higher sales volumes and a strong model line-up. Despite this growth, the company faced challenges with profitability due to external market pressures and non-cash impairment expenses. The company’s strategic expansion of its dealer network and retail locations contributed to its revenue growth, while efforts to reduce material and fixed costs are ongoing. However, the gross margin deteriorated significantly due to a substantial impairment expense, and the net loss increased compared to the previous year. Polestar’s cash position improved, supported by a PIPE investment and secured financing facilities.

Polestar Faces Nasdaq Compliance Challenge

On October 31, 2025, Polestar Automotive Holding UK PLC announced it received a notice from the Nasdaq Stock Market LLC for not complying with the $1.00 minimum bid price requirement. The company has until April 29, 2026, to regain compliance by maintaining a closing bid price of at least $1.00 per ADS for ten consecutive business days. This notice does not immediately affect the listing of Polestar’s securities, which will continue trading on Nasdaq, provided other listing requirements are met.

Polestar Reports Strong Sales Growth in 2025

On October 9, 2025, Polestar announced a 36% increase in retail sales for the first nine months of 2025, with Q3 sales up 13% compared to the previous year. This growth reflects the company’s resilience amid challenging market conditions and positions it for continued expansion in the fourth quarter.