What happened?According to S&P Global Market Intelligence data, Fisker stock rose 45.4% in June. An announcement by Magna that the company had signed a manufacturing agreement with Fisker (NYSE:FSR) was the catalyst for the stock's rapid rise. Also, the stock was added to the Russell 3000 index in June 28.Reddit traders from Wall Street Bets could also be looking at Fisker stock, which could explain why the price rose so quickly.What are you waiting for?Fisker stock, like many companies in the electric vehicle space (EV), has been on a wild ride this past year. Investors love this company, even though it doesn’t have a car and hasn’t generated any profits.The news this month revealed that Fisker has added the Russell 3000 to its stock portfolio. This should not have any impact on Fisker’s long-term stock performance. Magna's contract could have an impact on the business. Fisker stated in a press release that the agreement is a long-term, binding manufacturing agreement. Fisker also stated in the press release that Magna will begin production of the Ocean SUV in November 2022.Reddit traders might have exacerbated the stock's big move without any company announcements. Fisker stock is a topic of discussion on the Wall Street Bets subreddit, along with Nio (NYSE.NIO) and Tesla (NASDAQ.TSLA). We've seen the dramatic rise in share prices of GameStop (NYSE;GME) in 2021 and AMC (NYSE.AMC:AMC in 2021), which is a testament to how retail traders can make a huge difference in the short-term.What now?Although 45.4% monthly returns would bring a smile to anyone's face it is important that investors understand the risks involved in owning Fisker shares. The stock has a $5.44 billion market cap and generates zero revenue. It doesn't expect to sell any vehicles before the end 2022 at the latest. However, this could be delayed if there are problems.Fisker holds almost $1 billion of cash, but due to the large research and development costs, as well as the massive capital expenditures required to scale automotive manufacturing, it will need to raise billions before it can make a profit. This will further dilute existing shareholders. All this being said, Fisker seems like pure speculation at the moment. This makes it a bad choice for risk-averse investors.
