Nikola Corporation (NKLA) saw a significant rise in its stock price today, closing at $1.34, up 10.74% from the previous close of $1.21. The stock opened at $1.23 and reached an intraday high of $1.40, with trading volume surging to 23,802,194 shares, more than double the average volume. The upward momentum was driven by several key factors.
Firstly, the closure of Hindenburg Research, a well-known short-selling firm that previously targeted Nikola, has likely alleviated some bearish sentiment, contributing to a more positive outlook among investors. This development, combined with Nikola's stock being in oversold territory, may have prompted technical traders to anticipate a bounce.
Additionally, Nikola announced the upcoming opening of a new HYLA hydrogen refueling station in West Sacramento, which is set to become operational by January 2025. This expansion is part of Nikola's strategy to enhance its zero-emission infrastructure, potentially boosting investor confidence in the company's long-term growth prospects.
Moreover, a significant decrease in short interest was reported, with the short percent of float falling by 52.69% to 11.69%. This reduction in short positions may have further fueled the stock's upward movement as traders covered their positions.