Electric truck maker Nikola Corp. (NASDAQ: NKLA) had one of its trucks catch on fire. It may not be the same one that caught on fire with a few others in June. However, the trouble damages a company that is probably already damaged beyond repair.
Trucks do catch on fire occasionally. This happened with several Ford F-150 Lightnings. Ford can weather this, given its size, balance sheet and brand. A tiny startup is another matter. (These are the 15 most fuel-efficient trucks.)
Reuters, which reported the fire, wrote that “At approximately 2 pm today at Nikola HQ, one of the trucks that was previously damaged reignited. No one was injured and the fire was quickly contained.” That is no one except management’s reputation.
Nikola’s stock rose earlier this month due to a deal for BayoTech, a modest-size hydrogen producer, which will buy up to 50 Nikola Class 8 hydrogen fuel cell trucks between now and 2028. In addition, a huge German company, Bosch, said it would begin production of its fuel-cell power product, with Nikola as the anchor customer.
Neither deal can do much to save Nikola, which trades as a penny stock for $2.50 a share. That is down 57% in the past year.
Nikola’s finances are a train wreck. In the most recent quarter, it announced 31 wholesale deliveries to dealers and 33 retail sales to end customers. That fails to represent even modest success.
24/7 Wall St.In the same period, Nikola lost $169 million on $11 million of revenue.
In a crowded electric vehicle market with dozens of competitors, some of which are huge, Nikola does not have a chance.
100 Million Americans Are Missing This Crucial Retirement Tool
The thought of burdening your family with a financial disaster is most Americans’ nightmare. However, recent studies show that over 100 million Americans still don’t have proper life insurance in the event they pass away.
Life insurance can bring peace of mind – ensuring your loved ones are safeguarded against unforeseen expenses and debts. With premiums often lower than expected and a variety of plans tailored to different life stages and health conditions, securing a policy is more accessible than ever.
A quick, no-obligation quote can provide valuable insight into what’s available and what might best suit your family’s needs. Life insurance is a simple step you can take today to help secure peace of mind for your loved ones tomorrow.
Click here to learn how to get a quote in just a few minutes.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.