What's Going On With EV-Maker Nikola Stock?
Portfolio Pulse from Erica Kollmann
Nikola Corporation (NASDAQ:NKLA) shares are trading higher along with other EV stocks, following a report from CleanTechnica indicating a 29% year-over-year increase in full battery-electric vehicle sales in Q4 2023. Baird analyst Ben Kallo initiated coverage on Nikola with an Outperform rating and a price target of $2, citing potential catalysts in manufacturing, partnerships, and hydrogen infrastructure. Nikola has a high short interest of 28.42%, which may lead to significant price volatility. Despite recent optimism, Nikola's stock has fallen 30.48% in the past three months, and its revenue has decreased by 107.14% over the past year.
January 29, 2024 | 8:36 pm
News sentiment analysis
Sort by:
Descending
NEUTRAL IMPACT
Nikola's stock is experiencing an uptick due to positive industry sales data and an Outperform rating from Baird with a $2 price target. However, high short interest and recent declines in stock price and revenue may lead to short-term volatility.
The positive sales report for the EV industry and the Outperform rating from Baird are likely to have a favorable impact on Nikola's stock in the short term. However, the high short interest indicates that there is significant skepticism in the market, which could lead to large price swings, especially if there is heavy trading volume. The recent negative performance in terms of stock price and revenue decline suggests underlying concerns that may temper investor enthusiasm.
CONFIDENCE 80
IMPORTANCE 75
RELEVANCE 100