Fisker Stock Alert: EV Startup Defaults on $3.5 Million Loan

Core Viewpoint - Fisker, a troubled electric vehicle company, has defaulted on a short-term loan of $3.5 million, raising concerns about its financial stability despite a temporary rise in stock price due to retail trading activity [1][2][5]. Company Developments - Fisker has defaulted on a senior secured note worth $3.456 million, attributed to the expiration of a forbearance agreement and failure to make payments [3][5]. - The company has experienced significant layoffs and a decline in institutional investment, indicating a loss of confidence from Wall Street [5][6]. - Fisker has scaled back its direct sales operations and acknowledged production setbacks, compounding its financial difficulties [5]. Stock Performance - Despite recent surges in stock price, Fisker shares are down over 96% in the past two quarters, reflecting ongoing struggles [4][6]. - The recent default on the loan serves as a reminder of the company's precarious position, with potential bankruptcy looming [6].