Summary:
Nikola Corp is a company that makes electric trucks. Their trucks run on special batteries and fuel cells, which are like tiny power stations inside the vehicle. They have had some problems in the past, but they are fixing them and making their trucks better. Right now, most other companies that make only electric cars are not doing very well, because people might not want to buy as many of them. But Nikola is doing well, because their trucks are different and cool, and people like them.
Read from source...
- The title is misleading and clickbaity, implying that the penny stock EV company outperforms the big boys when in reality it only has a 14% YTD gain compared to Tesla's -31.1%, Rivian's -52% and Lucid's -36.1%. This is not impressive given the low share price of Nikola.
- The article fails to acknowledge the major challenges and controversies that Nikola has faced, such as the fire incidents, recalls, executive departures, and lawsuits. These issues have damaged the company's reputation and credibility, and may pose future risks.
- The article compares Nikola unfavorably to traditional automakers like GM and Ford, who produce both EVs and gas-powered vehicles, and thus benefit from diversified revenue streams and lower costs. This comparison is not fair or relevant, as Nikola is an pure-play EV startup that focuses on a niche market of hydrogen fuel cell trucks.
- The article suggests that Nikola's delivery targets are realistic and achievable, without providing any evidence or data to support this claim. The article also ignores the fact that Tesla, Rivian, and Lucid have all increased their production capacities significantly over the past years, while Nikola has not shown any significant progress in developing or manufacturing its trucks.
- The article uses emotional language and tone, such as "leaves big boys in the dust", "unlike most pure-play EV makers whose stocks have been falling", and "not an easy climb back up". These expressions imply a sense of triumph, superiority, or pity for Nikola, without providing any objective or balanced analysis.
There is no definitive answer to whether Nikola Corp is a good investment or not, as different investors may have different preferences, risk tolerance, and expectations. However, some factors that could influence your decision are:
- The company's recent performance in delivering hydrogen fuel cell electric trucks and addressing recall issues, which show its progress and credibility in the EV market.