NKLA review

 Citation (MONDAY, JANUARY 10, 2022 | JEA YU MarketBeats)

Electric vehicle (EV) maker and hydrogen energy solutions firm Nikola (NASDAQ: NKLA)stock has seen a resurgence in recent events. Shares of the former SPAC took a dramatic sell-off on the ouster of its former CEO Trevor Milton and fraud allegations. However, the Company is rebuilding its reputation as it nears deliveries on its Nikola Tre BEV trucks. It is also in the process of settling civil fraud charges with the U.S. Securities and Enforcement Commission (SEC) for $125 million, which is 20% of cash on hand. Recently, Nikola announced deals for battery electric vehicles (BEVs) including the deal with USA Truck for 10 vehicles and with SAIA for 100 BEVs. The Company expects to deliver 25 vehicles in 2022 and up to 100 production vehicles by 2024. The Company expects profitability by 2025. Prudent investors seeking a potential turnaround play in clean energy and EVs can watch for opportunistic pullbacks in shares of Nikola.                                 

Q3 2021 Earnings Release 

On Nov. 3, 2021, NKLA released its fiscal third-quarter 2021 results for the quarter ending September 2021. The Company reported an EPS loss of (-$0.22) versus a loss of (-$0.38) consensus analyst estimates, a $0.16 beat. The Company is pre-revenues but managed to continue to grow its infrastructure building out a sales and service network of dealers in 28 states and over 130 locations. Nikola CEO Mark Russell commented,  "Validation of the Nikola Tre BEV is progressing, with trucks now being test-driven and tested on public roads. We also formally inaugurated our joint venture manufacturing facility in Ulm, Germany, and entered into additional strategic partnerships to advance our hydrogen refueling ecosystem with TC Energy and OPAL Fuels." CEO Russell added, "with prospects of an SEC settlement, we're looking forward to resolving the outstanding issues relating to our founder and bringing that chapter to a close and maintaining our focus on delivering trucks to our customers, and building the energy, service, and support infrastructure our customers need."