EV stocks in general have been in trouble for the last several months. Even Tesla has had an uncharacteristic falloff. Smaller companies, which include Rivian, face existential moments. It just recalled almost every car it has sold since it began production. No electric car company is in more trouble than Faraday Future Intelligent Electric Inc. Despite raising a modest sum of money recently, its shares trade at an extremely low $.63. More bad news about its operations could drive that to $0.

Faraday’s drop is stunning. Shares traded for over $7 in July.

The management and board situation at Faraday has turned ugly. Executive chair Susan Swenson resigned because of death threats, two other directors left at the same time.

Faraday has a long list of troubles. Outside shareholders have essentially taken control of the company and it is unclear precisely what they plan to do. The SEC has started a probe of Faraday’s finances. Its auditors have resigned. Faraday’s stock has also faced delisting because its share price has traded below $1, a Nasdaq regulation.

One bright spot is that Faraday has cut a deal for new capital. According to The Wall Street Journal, “…has secured up to $100 million in new financing to fund operations after reaching a deal with one of its largest shareholders to resolve a monthslong governance dispute.”

Finally, Faraday delayed the release of its new vehicle. While this has become almost routine among new EV companies, most have at least adequate financing to remain in business for a few years. With an operating loss of $137 million in its most recent quarter, Faraday does not have that kind of runway.

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Even with new governance and an infusion of cash, Faraday’s delay in releasing a car means its future is in great doubt.

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