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FFIE Stock: Faraday Future Continues to Wait for Nasdaq Delisting Hearing
FFIEFaraday Future(FFIE) investorplace.com·2024-05-29 15:22

Core Points - Faraday Future's shares are declining below 1followingNasdaq′snotificationofnoncomplianceanddelistingdetermination[1][2]−ThecompanyhasfileditsForm10−Kbutisstillfacingcomplianceissuesduetoitsstockpriceanddelayedearningsreport[2]−Faradayreported1 following Nasdaq's notification of noncompliance and delisting determination [1][2] - The company has filed its Form 10-K but is still facing compliance issues due to its stock price and delayed earnings report [2] - Faraday reported 800,000 in revenue for 2023 but incurred a net loss of 432million,indicatingongoingfinancialstruggles[2]ComplianceandDelistingIssues−NasdaqinformedFaradayonApril24thatitwasnoncompliantduetoaclosingpriceof10centsorlessfor10consecutivetradingdays[1]−ThecompanywaspreviouslynotifiedonDecember28aboutnoncomplianceforhavingaclosingpricebelow432 million, indicating ongoing financial struggles [2] Compliance and Delisting Issues - Nasdaq informed Faraday on April 24 that it was noncompliant due to a closing price of 10 cents or less for 10 consecutive trading days [1] - The company was previously notified on December 28 about noncompliance for having a closing price below 1 for 30 consecutive business days, with a deadline of June 25 to regain compliance [2] - Faraday's failure to file its first-quarter earnings could lead to further delisting actions [2] Financial Condition - As of May 23, Faraday had only 5millionincash,with5 million in cash, with 2 million being restricted, against a net cash usage of $278 million in operating activities for 2023 [3] - The company has substantial doubt about its ability to continue as a going concern due to its cash position and ongoing losses [3]