Polestar Automotive (PSNYW) | News Based Sentiment Analysis

• On October 1, 2025, Polestar announced extensive hardware upgrades for the 2026 Polestar 3, including a new 800-volt electrical architecture boosting DC charging to 350 kW and reducing 10-80% charge time to approximately 22 minutes – a 25% improvement. These upgrades also enhance battery efficiency by up to 6% and integrate new CATL lithium-ion batteries with capacities of 92 kWh and 106 kWh, depending on the model.
• The upgraded Polestar 3 will initially launch in the UK due to high demand, and Polestar plans to offer the hardware upgrade as a complimentary retrofit to all existing Polestar 3 customers starting in early 2026, a move CEO Michael Lohscheller described as making it "like an entirely new car."
• Analyst sentiment remains mixed, with a consensus price target of $2.34 as of October 3, 2025, but a wide range from $0.78 to $9.00, indicating significant uncertainty. Cantor Fitzgerald issued a price target of $0.00 on September 4, 2025, anticipating a -100.00% downside.
• Recent analyst ratings from B of A Securities (December 5, 2024) and Cantor Fitzgerald (September 30, 2024, and September 23, 2024) yielded an average price target of $2.42, implying a 152.47% upside, though this is contrasted by Cantor Fitzgerald’s negative outlook.
• Polestar’s stock experienced fluctuations in early October, with the PSNYW ADS closing at $0.2699 on October 3, 2025, a 2.42% decrease, while the common stock (PSNY) closed at $0.9622, up 1.41%. Trading volumes were 131,855 for PSNYW and 115,225 on October 1, 2025.
• As of October 3, 2025, Polestar’s financial metrics show a Price/Sales ratio of 0.22, a Quick Ratio of 0.22, and a Current Ratio of 0.43. Total revenue for fiscal year 2024 was $2,034,261 (in thousands USD), but the company reported a gross profit of -$876,167 (in thousands USD).

The Investment Story: Polestar is attempting to revitalize its image and performance with significant hardware upgrades to the Polestar 3, but faces a challenging financial landscape and deeply divided analyst opinions. The company's future hinges on successfully executing these upgrades and addressing its profitability concerns.

What It Means for Investors: The substantial upgrades to the Polestar 3 could attract new customers and boost demand, but investors should be cautious given the mixed analyst ratings and the company’s current financial struggles. The wide range of price targets highlights the high risk associated with this investment.

Looking Ahead: Investors should closely monitor the rollout of the Polestar 3 upgrades, customer reception, and Polestar’s financial performance in the coming quarters. Further analyst updates and any changes in brokerage recommendations will be crucial indicators.

The Bottom Line: Polestar remains a high-risk, high-reward investment. While the upgrades demonstrate a commitment to innovation, the company must overcome significant financial hurdles and navigate a volatile market to achieve long-term success.