The Chinese automaker recently announced a new plan that will let Hangzhou residents rent one of 100,000 electric cars for $3.25. The cars will mostly stay in large automated facilities until someone wants to rent them.
The electric cars in the program can travel 75 miles at speeds of up to 50 MPH. The company currently has two automated garages in the cityof Hangzhou, with 18 more under construction. Kandi plans to expand the service to other cities such as Shanghai, Shandong, and Hainan in the future.
TheStreet Ratings team rates Kandi as a "hold" with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate KANDI TECHNOLOGIES GROUP (KNDI) a HOLD. The primary factors that have impacted our rating are mixed ? some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows: