What happened Shares of beleaguered electric vehicle (EV) start-up Canoo (NASDAQ: GOEV), which got torpedoed after reporting a big $90 million loss in March, are sinking even lower today, down 8% in 2:20 p.m. EDT trading. You can blame Bank of America (BofA) for that. Image source: Getty Images. So what In a note covered today on StreetInsider.com, investment bank BofA initiated coverage of Canoo stock with an "underperform" rating (i.e., sell), warning that it doubts the company's "ability to execute in a timely fashion" given its "several significant pivots/changes" in its business model "recently announced." With multiple start-ups all vying to grab a toehold in the market at present, the EV industry is "fiercely competitive," opines BofA. And despite what headlines might be telling you, EV manufacturers are still making only slow progress at displacing traditional manufacturers of internal combustion vehicles. Now what In this situation, the banker warns that competition is tough in business-to-business sales but even tougher in Canoo's targeted "subscription business" selling electric cars directly to consumers. With success far from a sure thing, and Canoo's trailing sales still well short of even $3 million a year, BofA values Canoo stock at only $6 a share -- suggesting that even after today's sell-off, there's another 22% worth of downside risk in this stock. 10 stocks we like better than Canoo Holdings Ltd.When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Canoo Holdings Ltd. wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of February 24, 2021 Rich Smith has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Source