Why Nikola's Stock Is Hitting The Brakes Today

Nikola Corp NKLA is trading lower Thursday morning after company founder Trevor Milton was indicted on three counts of fraud. 

Milton was indicted for allegedly lying about “nearly all aspects of the business.”

Nikola went public via special purpose acquisition company VectoIQ Acquisition Co in June 2020. Milton stepped down as chairman of Nikola in September 2020 following accusations that he exaggerated the functionality of the company's Nikola One vehicle. 

Milton later acknowledged that the vehicle was not driving under its own power at the unveiling event, but claimed it was because of safety reasons.

Nikola designs and manufactures battery-electric and hydrogen-electric vehicles.

Price Action: Nikola has traded as high as $54.56 and as low as $9.37 over a 52-week period.

At last check Thursday, the stock was down 9.65% at $12.82.