The stock of Nikola Corporation (NASDAQ:NKLA) is now priced at $40.81 and the shares are -0.54 points down or -1.31% lower compared to its previous closing price of $41.35. The stock had 11.367 million contracts set over the past session. NKLA shares’ daily volume is compared to its average trading volume at 20.216 million shares. However, it has a float of 97.62 million and although its performance was 5.48% over the week, it’s one to watch. Analysts have given the NKLA stock a yearly average price target of $55 per share. It means the stock’s upside potential is 34.77% with the NKLA share price recently placing at $40.3 to $43.28. However, some brokerage firms have priced the stock below the average, including one that has called $45.
The shorts are running away from the Nikola Corporation stock, with the latest data on short interest released on August 14, 2020, showing that short interest numbers in the NKLA shares have declined. Short interest in the stock represents just 12.45% of its float, but the volume has dropped by -1849798. The volume of shorted shares dropped to 12.15 million from 14 million shares over the last two weeks. The average intraday trading volume has been 26.158 million shares, which means that days to cover moved to roughly 1.
In the last trading session, Nikola Corporation (NASDAQ:NKLA) raised by $2.12 over the week and gained $4.32 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $93.99. The stock recorded its established 52-week high on 06/09/20.
Since 09/04/19, the stock has traded to a low of $10.17 at 301.28%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge.
Looking at current readings, Nikola Corporation’s two-week RSI is 47.92. This suggests that the stock is neutral at the moment and that NKLA shares’ price movement remains stable. The stochastic readings are equally revealing at 33.4% meaning the NKLA share price is currently in neutral territory.
The technical chart shows that the NKLA stock will likely settle at between $42.63 and $44.44 per share. However, if the stock dips below $39.65, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $38.48.
Currently, the stock is trading in the green of MACD, with a reading of 0.38. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Maxim Group assigned NKLA a rating of Neutral in their intiating review released on August 26. Deutsche Bank analysts see the stock as a Hold with a target price of $54 in a flash note released to investors on July 16 initiating covering the stock. JP Morgan seeing the improvements upgraded the stock from Neutral to Overweight on July 08, placing it at $45.
The average rating for the NKLA equity is 2.33 and is currently gathering a bullish momentum. Of 5 analysts tracking Nikola Corporation polled by Reuters, 3 rated NKLA as a hold. The remaining 2 analysts were split evenly. However, the split wasn’t equal as a majority (2) rated it as a buy or strong buy. 0 analyst advised investors against buying the stock or to sell if they own any of the stock.
The stocks P/S ratio currently stands below the group’s average of 60.2. Nikola Corporation has its P/E ratio at 0, which means that the stock is currently trading at a discount relative to the 2.3 industry average.