Nikola shares climb amid hiring announcement, new customers

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Updated Jul 11, 2024
Nikola's zero-emission vehicles
Nikola Corporation could be on the beginning of a financial rebound following the announcements of new customers and deliveries, a successful stock market overhaul, and company expansion.
Nikola Corporation

Shares of Arizona-based EV truck maker Nikola Corporation (NKLA) closed Wednesday, July 10 at $9.50 following the OEM's announcement last week that it delivered 72 Class 8 hydrogen fuel cell trucks in Q2, surpassing early expectations of 50 to 60 units.

The healthier stock price may also be attributed to the company announcing expansion plans. A hiring event at its factory is scheduled for later this week.

“Nikola is expanding! We are looking for some great people to be part of the future of zero-emissions transportation. If you have an interest in production assembly work, we want to meet you!” the company announced. 

Nikola also continues to seek new customers for its electric trucks.

Last week, Walmart Canada became the first major retailer in the country to add a hydrogen fuel-cell semi truck to its fleet, specifically a Nikola FCEV Class 8 trailer. It produces zero tailpipe emissions, about a 500 mile-mile range, and avoids 97 metric tons of CO2 emissions annually. 

“We have maintained our 2024 momentum with solid wholesale numbers, new customers such as Walmart Canada, and repeat customers like 4GEN and IMC, purchasing vehicles through our dealer network,” Nikola CEO Steve Girsky said.

In California, Wayfair is currently testing the company's trucks with Trucking as a Service (TaaS) company WattEV

[Related: WattEV CEO explains how it's building America's largest EV trucking fleet]

“Wayfair is piloting heavy-duty EV trucks with WattEV, Inc. in California. We’re testing these vehicles for more sustainable middle-mile deliveries and evaluating the operational impacts of switching from diesel to electric trucks,” said Anna Vinogradova, Head of Global Sustainability and ESG at Wayfair. 

Nikola's financial recovery and expansion are part of a larger plan to boost its market presence. During a Q1 earnings call in May, Girsky told investors he expects that volume to scale will significantly grow next year while delivery volume will increase in 2026.

“We’re seeing green shoots with repeat and new fleets - some in new markets such as New York,” he said on the call. “While our initial focus has been California and Canada, we can expand our reach to meet the demands of end fleet users virtually anywhere in the U.S.”

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Last month, Nikola stockholders voted in favor of a reverse stock split in order to avoid a Nasdaq delisting. A reverse stock split is designed to consolidate the number of existing shares of corporate stock into fewer but more valuable shares. 

The company faced a near-death experience back in 2019 when founder and former CEO Trevor Milton was accused of making false and misleading statements about Nikola's vehicles in order to influence potential investors after it went public through a Special Purpose Acquisition Company (SPAC) merger instead of a traditional IPO. Milton was found guilty of fraud in 2022 and sentenced to four years in federal prison. 

Jay Traugott has covered the automotive and transportation sector for over a decade and now serves as Senior Editor for Clean Trucking. He holds a drifting license and has driven on some of the world's best race tracks, including the Nurburgring and Spa. He lives near Boulder, Colorado, and spends his free time snowboarding, climbing, and hiking. He can be reached at [email protected].

Hydrogen Fuel Cell & BEV Survey
The following survey was sent as a link in an email cover message in February 2023 to the newsletter lists for Overdrive and CCJ. After approximately two weeks, a total of 176 owner-operators under their own authority, 113 owner-operators leased or assigned to a carrier and 82 fleet executives and 36 fleet employees from fleets with 10 or more power units had completed and submitted the questionnaire for a total of 407 qualified responses. Cross-tabulations based on respondent type are provided for each question when applicable.
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