Nikola stock could triple from here: Baird forecasts

Nikola Corp (NASDAQ: NKLA) is rallying on Wednesday after a Baird analyst issued a super bullish call in its favour.

Nikola stock could hit $2.0 in 2024

Ben Kallo assumed coverage of the electric vehicles company this morning with an “outperform” rating. His $2.0 price target suggests a 200% upside on its previous close.

The analyst is positive on Nikola stock primarily because he sees catalysts ahead not just for its trucks business but also for the energy segment.

Nikola is scheduled to report its financial results for the fourth quarter next month. Consensus is for it to lose 17 cents a share versus 46 cents per share a year ago.

Nikola to spend over $500 million this year

Ben Kallo expects the Phoenix-headquartered firm to name a chief of finance in the coming weeks.

The Baird analyst is super bullish on Nikola stock also because the company’s “proprietary design and software are key differentiators vs. traditional diesel trucks”, as per his research note on Wednesday.

Other reasons he cited for the constructive view on $NKLA include expected improvement in production and incentive programmes in new geographies. Partnerships and infrastructure investments in the hydrogen segment will also deliver a boost to the stock price, Kallo concluded.

He expects Nikola Corp to burn roughly $540 million in total in 2024.