Nikola Stock Price: $24 By Vertical Research

By Amit Chowdhry ● April 4, 2021
  • The shares of Nikola (NASDAQ:NKLA) have received a price target of $24 by Vertical Research. These are the details.

The shares of Nikola (NASDAQ:NKLA) have received a price target of $24 by Vertical Research. And Vertical Research analyst Jeffrey Kauffman had initiated coverage of Nikola with a “Buy” rating. Kaufman is expecting there to be a recovery in the transportation and freight sector in general. 

Earlier this month, Nikola filed with the SEC to sell $100 million worth of shares as part of a secondary offering. And Nikola is planning to use the proceeds from the sale for ramping up its manufacturing facility in Arizona and other general corporate purposes.

In early February, Wedbush analyst Dan Ives had upgraded his rating on Nikola and cited that many of the negative issues were behind the company. A few weeks later, Nikola had provided an update about its hydrogen-fuel-cell commercial trucks. The company had unveiled a series of trucks with ranges between 500 and 900 miles. 

Nikola is planning to introduce a fuel-cell-electric-vehicle variant of the Nikola Tre Cabover and a long-range Nikola Two FCEV Sleeper for the North American market. And both of these trucks are aimed at the commercial freight market. 

The range of the Nikola Tre BEV Cabover is 300 miles and the Nikola Tre FCEV will support 500 miles. And the Nikola Two FCEV Sleeper will support trips of up to 900 miles.

The Two FCEV model is expected to be based on a new chassis custom, which is designed for North American long-haul routes and is expected to launch in 2024. And the first Tre FCEV prototype is scheduled to begin in Arizona and Ulm, Germany in the second quarter with the testing and validation of the vehicles expected for 2022. The production is expected to start in the second half of 2023. Plus Nikola is building on the current Tre platform with a planned launch of its fuel-cell and hydrogen storage systems in 2023.

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.