VinFast Auto is unprofitable, thinly traded and was grabbing attention from individual investors as it rose faster than any other large-cap stock worldwide.
That was already a perilous combination for anyone tempted to bet on further gains in the Vietnamese electric-vehicle startup, which soared 688% since its debut in a SPAC listing on Aug. 15, through Monday’s close. As if on cue, the rally was halted sharply Tuesday as the shares snapped their six-day winning streak to close down 44%, wiping off $83 billion from the company’s valuation.
Despite the wipeout, VinFast’s nearly $107 billion market capitalization still makes it larger than companies like BlackRock and FedEx.