What's Going On With EV-Maker Nikola's Stock?

Nikola Corporation NKLA shares are trading lower Tuesday amid broad market weakness. Steven Shindler, Chairman of the Board at Nikola, recorded a video addressing one of the five proposals to be voted on at the company's annual stockholder meeting. 

The Details:

Nikola encouraged shareholders to vote "Yes" to all five proposals, including Proposal 2 for a reverse stock split. The company said it anticipates a positive impact from the reverse stock split which would address potential delisting concerns and reset the company’s financial foundation.

“We must eliminate the distraction of delisting and position ourselves to raise capital more efficiently and effectively. We believe that if we can achieve a share price at a more consistent level with the Russell 3000 companies, it will encourage investor interest and improve the marketability of our common stock to an even broader range of investors,” Shindler said in the recorded video statement.

Nikola also invited stockholders to continue submitting questions, as it said ongoing communications are planned to provide answers to those most frequently asked.

Related News: What’s Going On With Rivian Automotive Stock?

Will NKLA Stock Go Up?

When trying to assess whether or not Nikola NKLA will trade higher from current levels, it's a good idea to take a look at analyst forecasts.

Wall Street analysts have an average 12-month price target of $1 on Nikola. In the last month, one analyst has adjusted price targets. Here's a look at recent price target changes [Analyst Ratings]. Benzinga also tracks Wall Street's most accurate analysts. Check out how analysts covering Nikola have performed in recent history.

Stocks don't move in a straight line. The average stock market return is approximately 10% per year. Nikola is 27.93% down year-to-date. The average analyst price target suggests the stock could have further upside ahead.

For a broad overview of everything you need to know about Nikola, visit here. If you want to go above and beyond, there's no better tool to help you do just that than Benzinga Pro. Start your free trial today.

NKLA Price Action: According to Benzinga Pro, Nikola shares are down 4.23% at 62 cents at the time of publication Tuesday.

Image: Courtesy of Nikola Corporation