Nikola Fires Back at Short Seller’s ‘Salacious’ Claims

[NewsFeeder]

Nikola Fires Back at Short Seller’s ‘Salacious’ Claims

Nikola responded to short seller Hindenburg Research Friday. Here’s what the alternative-fuel, heavy-duty trucking pioneer has to say.

https://finance.yahoo.com/m/23a5735...e93/nikola-fires-back-at-short.html?.tsrc=rss

 

[Bullitt]

Citron joins in on Hindenburg's defense in calling Nikola a total fraud.

The slump extended losses on Thursday after Hindenburg Research accused the electric-vehicle company and its CEO, Trevor Milton, of overhyping its truck's capabilities. The firm, which has a short position in Nikola, also accused Nikola of filling its multibillion-dollar order book "with fluff."

Citron Research backed up the claims on Friday morning and congratulated Hindenburg in a tweet, saying it was "exposing what appears to be a total fraud" with Nikola.

Citron pledged to cover half of any legal expenses for Hindenburg.

https://markets.businessinsider.com...vestor-selling-short-report-2020-9-1029582414

 

[bmneveu]

Citron joins in on Hindenburg's defense in calling Nikola a total fraud.



https://markets.businessinsider.com...vestor-selling-short-report-2020-9-1029582414

Not looking good for Nikola. The only reason I'm not completely convinced is my assumption that GM did their due diligence before making a deal with them.

 

[Bullitt]

It doesn't sound like it was much more than GM getting caught up in this electric car craze with zero risk. Nikola is paying GM $2B here. Interesting report. Yes, it does seem like a fraud to me.

The real “value” for GM seems to be branding. We believe the legacy automaker simply seeks to latch General Motors’ storied name onto Nikola’s charismatic Founder and Executive Chairman, Trevor Milton. Trevor is perceived by many as a forward-thinking, fresh, visionary entrepreneur capable of rivaling Elon Musk’s allure.

https://hindenburgresearch.com/nikola/

 

[Bullitt]

NKLA more than cut in half since that short seller report though it did have a speculative short squeeze in November.

Down another 8% today. Down around 85% from the top.

 

[bmneveu]

NKLA more than cut in half since that short seller report though it did have a speculative short squeeze in November.

Down another 8% today. Down around 85% from the top.

And still a $5B market cap somehow. Garbage company.

 

[Bullitt]

And very ironic they had announced the "electric garbage truck" deal in August.