Last Updated: 16 Sep 2024
Executive Summary
Nikola Corp (NKLA) is a manufacturer of electric and hydrogen-free electric vehicles. The company has a market capitalization of $273.225 million and a trailing price-to-sales ratio of 5.62. The stock is currently trading at $5.40, below its 52-week high of $51.00 and above its 52-week low of $4.85. Analysts have a consensus rating of "Hold" on the stock, with a target price of $17.20.
Company Overview
Nikola Corp was founded in 2014 and is headquartered in Phoenix, Arizona. The company designs and manufactures batteries for electric and hydrogen-free electric vehicles. Nikola's mission is to "accelerate the world's transition to sustainable transportation."
Fundamental Analysis
Nikola Corp's financial performance has been mixed in recent quarters. The company reported a net loss of $573.56 million in the second quarter of 2024, wider than the net loss of $126.1 million in the same quarter a year ago. Revenue increased by 1.039% year-over-year to $48.62 million.
Nikola Corp's gross profit margin was -21.56% in the second quarter of 2024, compared to -19.46% in the same quarter a year ago. The company's operating margin was -4.19% in the second quarter of 2024, compared to -12.43% in the same quarter a year ago.
Technical Analysis
Nikola Corp's stock price has been in a downtrend since early 2023. The stock is currently trading below its 50-day and 200-day moving averages. The relative strength index (RSI) is 35.37, indicating that the stock is oversold.
Short Term Outlook
Nikola Corp's stock price is likely to remain under pressure in the short term. The company's financial performance has been mixed, and the stock is trading below its moving averages. The RSI is also indicating that the stock is oversold.
Long Term Outlook
Nikola Corp's long-term outlook is more positive. The company is a leader in the development of electric and hydrogen-free electric vehicles. The global market for electric vehicles is expected to grow rapidly in the coming years, and Nikola Corp is well-positioned to benefit from this growth.
Analyst Recommendations
Analysts have a consensus rating of "Hold" on Nikola Corp's stock. The average target price is $17.20, which represents a potential upside of 218.52% from the current price.
