Nikola Corporation (NKLA) experienced a decline today, closing at $1.18, down 3.28% from the previous close of $1.22. The stock opened at $1.24 and reached a high of $1.29 before sliding to an intraday low of $1.17. The trading volume was slightly above average, indicating heightened investor activity.
The decline comes despite the company's announcement on January 9th that its updated battery-electric trucks have surpassed 1 million in-service miles, a milestone intended to showcase the reliability of their vehicles. However, skepticism remains among investors, as discussions on Reddit highlight concerns about Nikola's financial health and lack of transparency regarding Q4 production numbers. One Reddit user expressed frustration, stating, "When since the announcement of Q3 (in q4) 'capital is dry' somewhere into and not past q1 (where we stand today)…and nothing about it has been mentioned or discussed…"
The broader market context also includes a positive outlook for the hydrogen fuel cell vehicle market, projected to grow significantly by 2030. Despite this, investor sentiment around Nikola remains cautious, with concerns about the company's financial stability overshadowing the recent milestone.