Skip to main content

Market Overview

Nikola Gets Wedbush Upgrade As 'Negative Catalysts' Have Played Out

Nikola Gets Wedbush Upgrade As 'Negative Catalysts' Have Played Out

Nikola Corp (NASDAQ: NKLA) has received an upgrade from Wedbush as most of the “negative catalysts” have played out. 

The Nikola Analyst: Wedbush analyst Daniel Ives changed his rating to Neutral on Nikola from the previous Underperform and upped the price target to $25 from the earlier $15.

The Nikola Thesis: Ives acknowledged that while some hurdles remain for the Phoenix, Arizona-based automaker, a scenario of a more “balanced risk/reward” on the name has emerged looking ahead.

“We still believe the company's EV and hydrogen fuel cell ambitions are attainable in the semi-truck market,” Ives wrote in a note.

Ives pointed to the completion of Nikola’s prototype trucks in Germany and the build of the Arizona flagship factory as positives and said Wedbush believes that a “strategic hydrogen partnerships could be on the near-term horizon both in the US and across Europe.”

The analyst said there are still “lingering concerns” on the execution and timing of the company’s ambitious goals and whether they are on track over the coming year.

Ives called ousted CEO Trevor Milton the “visionary, architect and internal/external force driving Nikola for the coming years.”

The departure of Milton leaves a void but CEO Mark Russell and CFO Kim Brady have done an “impressive job” in getting the automaker’s story back on track.

The Wedbush analyst said Nikola’s investments in hydrogen-powered battery and its benefits in comparison with traditional electric motors used in EVs today is “a key part of driving the value proposition in the eyes of investors on this story stock.”

He called Nikola a “prove me” story. Other positives related to the company include President Joe Biden’s push for green initiatives along with a Blue Senate, which he had also cited as plus points for rival Tesla Inc (NASDAQ: TSLA). 

Price Action: Nikola shares closed nearly 0.4% lower at $23.09 on Friday and gained 0.91% in the after-hours session to $23.30.

Related Link: Tesla Gets $1,250 Bull Case Target From Wedbush As EV Market Remains Its World Where Others 'Paying Rent'

Photo courtesy: Nikola Corp.

Latest Ratings for NKLA

Mar 2021Vertical ResearchInitiates Coverage OnBuy
Mar 2021JP MorganDowngradesOverweightNeutral
Feb 2021WedbushUpgradesUnderperformNeutral

View More Analyst Ratings for NKLA
View the Latest Analyst Ratings


Related Articles (NKLA)

View Comments and Join the Discussion!

Posted-In: Dan Ives electric vehicles EVsAnalyst Color Upgrades Price Target Analyst Ratings Tech Best of Benzinga

Latest Ratings

SAMEvercore ISI GroupMaintains1,500.0
SEAutonomous ResearchInitiates Coverage On378.0
ALHCMorgan StanleyInitiates Coverage On36.0
ALHCRaymond JamesInitiates Coverage On30.0
HAEMorgan StanleyDowngrades83.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at