Nikola stock (ticker: NKLA) was up 10.6%, at $10.11, in recent trading. The S&P 500 and Dow Jones Industrial Average were both up 0.4%.
The company said production began this week at its factory in Coolidge, Ariz. The Tre is an all-electric truck with an estimated per-charge range of about 350 miles. That range means the Tre is best-suited for local applications, such as port drayage.
Down the road, Nikola plans to produce a truck powered by hydrogen gas and hydrogen fuel cells that will be able to compete in long-haul trucking markets. A traditional semi truck rolling down the highway can travel up to 2,000 miles on a single fill-up. Trucks get about six to seven miles per gallon, and two fuel tanks can hold up as much as 300 gallons of diesel.
The company expects to build 300 to 500 trucks in 2022. Tre deliveries are expected to begin in the U.S. in the second quarter. European deliveries will follow in the third quarter.
It’s Nikola’s first significant product. Wall Street expects the company to generate about $117 million in sales during 2022, up from zero sales reported in 2021.
Could be a big player in a year or two. At $9 a share, a small entry is worth the risk in my book.
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