Xos price target raised to $13 from $4 at Wedbush

Wedbush raised the firm’s price target on Xos to $13 from $4 and keeps an Outperform rating on the shares after the company and ElectraMeccanica announced that they have entered into a definitive arrangement agreement where Xos will acquire all of the outstanding common shares of ElectraMeccanica in an all-stock transaction, unanimously approved by both companies’ boards of directors. The firm believes this is a unique opportunity for Xos to meet the growing demand for zero-emission medium-duty electric trucks by providing Xos with access to ElectraMeccanica’s cash balance, while ElectraMeccanica’s board to explore a range of possible strategic alternatives for optimizing ElectraMeccanica’s assets and generating sustained shareholder value but still managing potential risks.