Arrival (NASDAQ: ARVL) has commenced ground trials of the Arrival Bus at a testing facility in the UK.
Headquartered in London, UK, Arrival Ltd, is an electric vehicle (EV) manufacturer of lightweight commercial vehicles.
Following the news, shares of the EV stock gained almost 2% during the pre-market session on December 28, at the time of writing this article.
About The first Arrival Bus
The bus is excpected to be lighter than any other battery-electric bus due to the usage of in-house, lightweight, recyclable composite materials. It will lead to lower costs for operators enabling an economically viable transition to electric vehicles.
The Bus has unique features, including up to three doors, wrap-around exterior and interior screens, adaptable lighting, a transparent roof and a range of digital features. Notably, it has a flexible passenger seating capacity allowing greater accessibility. This also will enable higher usable standing space allowing passengers to travel more comfortably.
Furthermore, the vehicle can be customized to meet local city requirements with its modular design, which enables easy configuration of length, range, battery, and passenger capacity.
The Road Ahead
Ahead of EU certification and public road trials next year, the vehicles will undergo extensive validation and testing.
After proving ground trials, Arrival will begin public road trials of the Bus with First Bus – one of the UK’s largest transport operators in Q1 2022. Thereafter, the company will begin production in Q2 2022.
Management Weighs In
Franck Dessenis, Vice President of Bus Platform at Arrival, commented, “We’ve seen a strong interest in the Bus this year, specifically from governments who are looking to upgrade their public transportation networks, in order to achieve their zero-emission pledges. We’re partnering closely with governments, cities, and operators to build infrastructure solutions and seamless mobility services for local communities to support their clean energy targets.”
Further, Avinash Rugoobur, President at Arrival, stated, “This marks an important day as all of our milestones for 2021 have been achieved. We now look forward to bringing our vehicles, led by the Bus, to the market beginning in 2022, built by our Microfactories and helping to make the air cleaner around the world.”
Overall, the stock has a Strong Buy consensus rating based on 3 Buys and 1 Hold. The Arrival stock price prediction of $16.50 implies 111.8% upside potential from current levels.
Bloggers Weigh In
TipRanks data shows that financial blogger opinions are 100% Bullish on ARVL stock, compared to a sector average of 71%.