The beaten-down electric and hydrogen truck maker exceeded second-quarter delivery targets. The rally was fueled by the company's disclosure of hydrogen truck deliveries for the second quarter, which greatly exceeded expectations. With Nikola's past problems and loss-making financials having beaten the stock down to very low levels, it's no wonder the good news sparked a reversal. In the second quarter, Nikola reported 72 HYLA Class 8 hydrogen-powered truck deliveries to wholesalers. That was well above the ...

Core Insights - Nikola Corporation reported strong wholesale numbers for Q2 2024, wholesaling 72 Class 8 hydrogen fuel cell trucks, exceeding the sales guidance of 60 units [1] - For the first half of 2024, the company wholesaled a total of 112 hydrogen fuel cell trucks [1] - The company has secured new customers, including Walmart Canada, and has repeat customers like 4GEN and IMC [2] - Nikola aims to maintain its first-mover advantage in zero-emissions Class 8 trucks in North America and its hydrogen refueling solutions under the HYLA brand [2] Company Overview - Nikola Corporation is based in Phoenix, Arizona, with a manufacturing facility located in Coolidge, Arizona [3] - The company focuses on pioneering solutions for a zero-emissions world, transforming transportation and freight services through its Class 8 vehicles, including battery-electric and hydrogen fuel cell electric trucks [6] - Nikola is committed to developing a complete hydrogen refueling ecosystem, which includes supply, distribution, and dispensing [6]

Core Viewpoint - Plug Power and Nikola represent two distinct investment opportunities in the hydrogen power market, with Plug Power focusing on hydrogen fuel systems for warehouse equipment and Nikola developing hydrogen fuel cell-powered semitrailer trucks [1][4]. Company Performance Plug Power - Revenue increased from $502 million in 2021 to $891 million in 2023, with a growth rate of 40% in 2022 and 27% in 2023 [3][13]. - Operating margin deteriorated from (87%) in 2021 to (151%) in 2023, indicating increasing losses [3]. - Net income loss expanded from ($460 million) in 2021 to ($1.37 billion) in 2023 [3]. - The company ended Q1 2024 with $173 million in cash but secured a $1.66 billion loan from the U.S. Department of Energy to support the establishment of green hydrogen production facilities [7]. - Analysts project a revenue increase of only 4% to $926 million in 2024, with an expected net loss narrowing to $826 million [14]. Nikola - Revenue fluctuated, starting from $0 in 2021, reaching $51 million in 2022, and dropping to $36 million in 2023 [16]. - Operating margin worsened from N/A in 2021 to (1,806%) in 2023 [16]. - Net income loss increased from ($690 million) in 2021 to ($966 million) in 2023 [16]. - The company delivered only 79 battery-powered and 35 hydrogen fuel cell-powered trucks in 2023, significantly below its target of 3,500 BEVs and 2,000 FCEVs [8]. - Nikola's cash position was $346 million at the end of Q1 2024, with a 242% increase in share count over the past three years due to constant dilution [10]. Market Position and Outlook - Both companies are currently trading at low valuations, with Plug Power at approximately $2 and Nikola at around $10 [2][18]. - Plug Power is viewed as a more compelling turnaround play due to its higher revenue, recent financial support from the DOE, and lower valuation compared to Nikola [18]. - Nikola's future growth is uncertain, with challenges in scaling production and competition from established players like Tesla [17].

Group 1 - Nikola's stock experienced a significant increase, jumping as much as 16% in early trading, and closing higher by 3.4% later in the day [1][2] - The surge in Nikola's stock was influenced by Volkswagen's announcement of a $5 billion investment in Rivian Automotive, which is seen as a positive signal for the EV sector [3] - Nikola has faced challenges in raising capital and maintaining its Nasdaq listing due to a decline in share price, leading to a recent reverse stock split approved by shareholders [4][5] Group 2 - The reverse stock split of 1-for-30 was implemented to help maintain Nikola's listing on the Nasdaq, although it does not change the company's overall valuation [5] - Despite some positive movement in stock price, Nikola's financial viability remains uncertain, and any potential support from other automakers is speculative [6]

Beleaguered electric vehicle (EV) manufacturer Nikola (NASDAQ:NKLA) found itself in the news for the wrong reasons. On June 20, the company announced that its board of directors unanimously approved a reverse split of NKLA stock at a 1-for-30 ratio. It was supposed to take effect following the close of business Monday, with shares trading on a post-reverse-split basis today. Unfortunately for NKLA stock stakeholders, industry publication EV reported that Nasdaq exchange operators halted trading of the equit ...

Shares of the pioneer in zero-emission trucks have depreciated by 32.19% over the course of the past month, underperforming the Auto-Tires-Trucks sector's loss of 4.91% and the S&P 500's gain of 2.73%. For the full year, the Zacks Consensus Estimates project earnings of -$0.37 per share and a revenue of $117.75 million, demonstrating changes of +53.16% and +224.57%, respectively, from the preceding year. Based on our research, we believe these estimate revisions are directly related to near-team stock moves ...

Parkev Tatevosian, CFA has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool. ...

Nikola's going with the maximum reverse stock split it can perform. That's because one detail from the announcement didn't provide any new confidence among investors. Investors reacted negatively because it signals that Nikola's board doesn't have a large amount of confidence that the underlying business can help raise the stock price. The ultimate reason for the split was to get in compliance to remain listed on the Nasdaq Stock Market. Stocks can't trade below the $1 per share level for an extended period ...

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The company will conduct a big reverse stock split next week. Here's why that's worrying investors. Shares of electric truck maker Nikola (NKLA -21.98%) were trading sharply lower on Thursday morning, after the company said in a regulatory filing that that it will conduct a 1-for-30 reverse stock split next week. As of 10:30 a.m. ET, Nikola's shares were down about 23.3% from Wednesday's closing price. Nikola's reverse stock split will be more dramatic than expected The upcoming reverse stock split isn't ex ...