DA Davidson Reiterates Nikola with Neutral rating, cuts Price Target to $8 from $12

DA Davidson Analyst Michael Shlisky reiterated today Nikola’s Neutral rating and downgraded the price target from $12 to $8. The company released last week its earnings with 5 major goals for this year:

  • Deliver 300 – 500 production Nikola Tre BEVs to customers.
  • Successful pilot testing of Tre FCEV alpha trucks with AB, TTSI and others.
  • Build, test, and validate Tre FCEV beta trucks.
  • Announce location, break ground, and commence construction of the first hydrogen production hub in Arizona.
  • Announce two or more dispensing station partners in California.

Last August, the analyst initiated coverage on Nikola Corp. with a Neutral rating and a price target of $10.00. At the time, Michael said “We are launching coverage on Nikola Corporation with a NEUTRAL rating and $10 price target. NKLA is in the process of beginning production of its battery-powered truck, which will be followed by its fuel-cell powered model. While the BEV seems like a relatively straightforward proposition, especially given the company’s established technological alliances, the fuel-cell truck could be a tougher (and expensive) initiative. While NKLA’s work ethic in the face of considerable challenges is admirable, in our view, there are some overhangs that other EV makers don’t have. At current valuation levels, we’re not ready to dive in yet.”


Last week, J.P. Morgan Chase and Co. Analyst, Bill Peterson, lowered Nikola’s price target from $12 to $10 representing an upside of 24.38%. The analyst reiterated Nikola’s Neutral rating. The company reported yesterday its financial results for the quarter and full-year ended December 31, 2021. Today, also Deutsche Bank reiterated Nikola with a Hold rating, lowering price target to $11 from $19. Shares jumped almost 18% after Earnings Report on yesterday’s session closing at $8.04.

Recently, the company announced that it has appointed Lynn Forester de Rothschildto its Board of Directors. Forester de Rothschild is a co-founder of Inclusive Capital Partners (“In-Cap”) and will now represent the group on the board, replacing In-Cap co-founder, Jeff Ubben.

“Lynn’s work in environmental and social issues will be a real asset to Nikola’s board as we execute on our many strategic and business priorities,” said Steve Girsky, chairman of Nikola’s Board of Directors. “I also want to thank Jeff Ubben for his many contributions to the Nikola Board and for his help transitioning Lynn, who will now represent Inclusive Capital Partners on the Nikola Board.”