WKHS Stock Price: Workhorse Group Inc set for third day of falls, CFO says valuation is comparably cheap

  • NASDAQ: WKHS is set to extend its retreat from the highs for the third consecutive day.
  • Steve Schrader, the company's CFO, said the company's valuation looks cheap. 
  • Workhorse Group Inc. continues to benefit from being at the right place at the right time.

NASDAQ: WKHS is set to kick off trading with another drop, getting closer to $16 – and completing around 25% from the peak close of $20.91 on July 2. Moreover, it would be an even more significant stumble for those who bought Workhorse Group Inc stocks at their $22.90 peak

Profit-taking makes sense after the meteoric rise from the $3 handle seen as late as mid-June. The electric carmaker from Loveland, Ohio, still has several advantages that may lead to a renewed rally.

Workhorse Group news

Workhorse's CFO Steve Schrader spoke to Benzinga and said that the firm's all-electric van and drone offerings make it a unique company – benefitting from demand from commercial and also government firms. Workhorse's delivery vehicles make it attractive for online retailers aspiring to become greener.

Moreover, Schrader compared NASDAQ: WKHS's valuation to that of competitor Nikola, and said his firm's valuation looks "very cheap" in comparison. Looking at Elon Musk's Tesla – the leading EV firm, his words make even more sense. 

Investors do not need to adhere to the CFO's advice to find advantages. Apart from operating in a growing market – demand for deliveries is on the rise amid the coronavirus Criss – Workhorse also enjoys a strong financial war chest. It has recently secured $70 million in investment, aimed to ramp up its manufacturing.

See WKHS Stock Price: Workhorse Group Inc has five reasons to extend its bullish surge

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