Ideanomics (NASDAQ:IDEX) Stock Takes a Hit On Disappointing Quarterly Earnings

Ideanomics (NASDAQ:IDEX) fell 14% yesterday after the company announced its Q3 2021 operating results and updated results fromQ1 and Q22021.

Market Stats

On Tuesday, IDEX stock plunged 14.12% at $1.46 with more than 25.30 million shares, compared to its average volume of 9.01 million shares. The stock has moved within a range of $1.4400 – 1.6750 after opening trading at $1.61.

Earnings Recap

The company’s CEO Alf Poor said that the quarter was highlighted by two vital strategic acquisitions of Energica and VIA Motors scheduled to close in Q1 2022. Alf said the integration of the two companies offers Ideanomics full OEM capacity in various vehicle types and positions the company as a leading turnkey full-service offerings in the sector today.

In the third quarter, the company reported revenue of $27 million, with the Mobility Unit increasing $11.5 million from $8.7 million reported in Q2 2021. Ideanomics reported the third consecutive quarter of Mobility Unit growth. Gross profit was $4.5 million representing 17=6.7% gross margin relative to gross profit of $0.7 million a year ago. The company finalized the restatement of the previously issued statements for Q1 and Q2 2021and filed the amended quarterly reports. So, in the coming months, investors should watch IDEX.

Key Quote

“This quarter was highlighted by two very important strategic planned acquisitions of VIA Motors and Energica both scheduled to close in the first quarter,” said Alf Poor, CEO of Ideanomics. “The integration of these two companies provides Ideanomics with full OEM capabilities across vehicle types, and positions Ideanomics as one of the only full-service, turnkey, offerings in the market today.”

Traders Corner

IDEX stock is trading below the 20-Day and 50-Day Moving averages of $1.86 and $1.95 respectively. Moreover, the stock is trading below the 200-Day moving average of $2.59. The stock is down 22% in the past month.