Mullen Automotive Inc. ( MULN ) shares are soaring Monday amid a surge in retail investor interest. Preliminary results for the second quarter appear to have sparked a short squeeze in the heavily shorted stock.

What To Know: The sharp move higher in shares of Mullen Automotive ( MULN ) comes after the company filed a notice of delayed quarterly results late Friday, which also included unaudited preliminary figures showing improved financial performance for the second quarter ended March 31, 2025.

According to the filing, Mullen expects to report approximately $4 million in vehicle sales revenue for the second quarter, representing a notable increase year-over-year driven by a customer waiving return rights on 60 vehicles.

The company also estimated that it will report a net loss of $53.9 million for the period, compared to a loss of $171.4 million in the same quarter last year. Mullen cited lower research and development spending and warrant revaluation gains for the expected reduction in losses. These estimates remain unaudited and are subject to change as Mullen finalizes its 10-Q filing.

Mullen was expected to report its second-quarter results in the coming weeks, but delayed the report date due to analysis needed on the treatment of the company's majority-owned subsidiary, Bollinger Motors, which was placed in receivership by a court order on May 7, as well as pending asset transfers.

Mullen said in March that it expected to close the second quarter with its “strongest revenue performance to date” as momentum continued to build.

Traders appear to be ignoring the delayed filing news and previous operational challenges and focusing on the preliminary results. The stock is very heavily shorted, according to Benzinga Pro, which appears to be adding fuel to the move on Monday. The company also had a market cap of less than $100,000 as of Friday’s close, which is likely contributing to the extreme volatility.

Mullen shares are trading on abnormally high volume Monday with 487 million shares traded at last check, versus the company’s average trading volume of about 5 million, per Benzinga Pro data.

Price Action: Mullen Automotive ( MULN ) shares were up roughly 135%, trading around 39 cents at the time of publication Monday, according to Benzinga Pro.

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Image: courtesy of Mullen Automotive ( MULN ).