- Goldman research note reports that DSG’s model is “built for success”
- The report points out that flawed EV models favor an investor shift to DSG
- DSG offers strong top-line upside without associated capital costs that have historically crushed U.S. automotive manufacturers
Goldman Small Cap Research, a stock market research firm specializing in the small cap and microcap sectors, published a new research note this month on DSG Global (OTCQB: DSGT). The research note, titled “Lordstown Motors Debacle Confirms DSG’s Model Built for Success,” observes that recent news affirms Goldman’s thesis that the DSG EV model offers low risk with high upside and that “savvy investors” can look to DSG (https://ibn.fm/fDoIA).
“DSG’s core model leverages its exclusive North American rights to sell a broad lineup of EV vehicles from multiple manufacturers,” stated the report, which was prepared by senior analyst Robert Goldman. Goldman is founder of Goldman Small Cap Research and a market expert with more than 25 years of investment and company research experience as a senior research analyst and as a portfolio and mutual fund manager.
“This low-risk approach substantially reduces capital costs by tens of millions of dollars as the production risk cost is eliminated,” the report continued. “In contrast, EV darling Lordstown Motors may never produce and sell a meaningful number of vehicles after it was reported that the company may not continue as a going concern in a year’s time, due to large, accumulated losses, low cash on hand and significant future costs owed vendors.”
The report pointed out that such a flawed EV model favors an investor shift to DSG. “It is possible other, smaller, EV manufacturers may suffer the same fate as Lordstown and at best not come close to meeting production goals or at worst shutter their own facilities,” the report noted. “In our view, the EV space is primed for continued outsized growth and will remain in demand and in favor in the capital markets. However, if other ‘producers’ shoes drop’ in a similar fashion, savvy investors may seek out superior models and companies such as DSG that offer strong top-line upside without the associated capital costs that have historically crushed U.S. automotive manufacturers from time to time.”
Last month, Goldman issued a May Trade Alert on DSG, noting that this emerging player in the electric vehicle (“EV”) segment, which has a large lineup of affordable and diverse vehicles already in hand, could substantially benefit from its expected uplist to NASDAQ.
“Due to the Lordstown saga, DSGT’s stock may also enjoy additional gains due to intra-sector stock accumulation as investors swap one peer’s stock for another,” the report observed. “We believe DSGT could reach the $0.50–$0.60 mark pre-up-list, a major premium to its closing price. This range is based upon a high-level view of potential EV sales, peer valuations and the impact of catalysts such as potential investor migration due to the Lordstown issue and the company’s grand opening later this week.”
DSG Global is an emerging global technology company with an array of interconnecting businesses in some of the fastest-growing market sectors. With roots in the golf industry, in which it specializes in fleet management with patented analytics, mobile touch-screen engagement and electric golf carts under the VTS brand, the company is moving quickly with road-ready electric vehicles for sale in the first quarter of 2021 through its Imperium Motor Company subsidiary.
For more information, visit the company’s website at www.DSGTGlobal.com.
NOTE TO INVESTORS: The latest news and updates relating to DSGT are available in the company’s newsroom at https://ibn.fm/DSGT
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