Written by Cláudio Afonso | LinkedIn | X
Shares of electric-vehicle startups traded lower on Tuesday, with the manufacturer Nikola hitting a new all-time low amid the industry’s reaction to Fisker bankruptcy filing.
Nikola shares fell 2.08 percent during the trading session and extended their losses by an additional 6 percent in after-hours trading, reaching a record low of $0.45. This decline brought the startup’s market capitalization below $650 million and marked a year-to-date loss of 45.03 percent.
The company held its Annual Meeting earlier this month, and shareholders elected all the Directors and approved all proposals including a reverse stock split that will allow the share price to comply with Nasdaq requirement of trading above $1.
Among EV startups fighting for survival, Fisker’s stock plunged 54 percent while Faraday Future dropped 7.57 percent and the U.S. based Canoo fell 8.59 percent. The company stated that its manufacturing pause would continue as it seeks to sell its assets.
DA Davidson analyst Michael Shlisky issued a new research note last week reiterating the firm’s rating on Nikola shares while reaffirming the $1 price target implying an upside potential of 104 percent.
By the end of last year, Nikola‘s institutional shareholders were holding about 200 million shares although the number has more than doubled to 450 million shares in May, according to data from Fintel.
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In a recent interview, Nikola chief executive Steve Girsky comented on the enhancements in the second generation of the manufacturer battery electric vehicle (BEV) trucks while teasing future aerodynamic designs.
Girsky mentioned that while the current focus is on the cab-over design, Nikola is considering future aerodynamic designs as battery electric and fuel cell electric vehicles become more prevalent.
The company’s founder and former CEO Trevor Milton , announced on Saturday on social media that he has filed a multibillion-dollar derivative and malpractice lawsuit.
Milton, who stepped down as chairman in 2020 amid allegations of fraud, asserted in his post that the controversial video showing a Nikola truck rolling down a hill—purportedly to falsely demonstrate its functionality—was orchestrated by Worthen.
Written by Cláudio Afonso | LinkedIn | X
