- Workhorse Group Inc has received $70 billion in financing.
- Inclusion in the Russell 3000 index increases flows from fund managers.
- NASDAQ: WKHS received a bullish buy recommendation with a target price of $26.
- Elon Musk's Tesla has become the world's most valued carmaker, lifting all EV stocks.
- Robinhood accounts owning the stock surged by 436% in June to 116,000.
NASDAQ: WKHS has been on a winning streak, rising from below $3 in June to near $20 as July kicked off. Premarket trading shows that Workhorse Group Inc. is set to extend its gains by another 8% to around $20.75.
Why is the electric carmaker rising? There are five reasons.
Workhorse Group news
1) Workhorse secured $70 million in new financing: The Loveland, Ohio-based firm received the lump sum from an institutional investor and that will enable it to expand production and provide peace and calm for investors.
2) Russell 3000 inclusion: NASDAQ: WKHS has recently been included in the Russell 3000 index of small stocks. Mutual funds and ETFs will now automatically invest in the firm due to their obligation. That is boosting the stock price and also encouraging private investors to pile in.
3) Bullish recommendation: Gregory Lewis, an analyst with BTIG, upgraded his target for NASDAQ: WKHS big-time – from $10 to $26, a whopping increase of 160%. It is essential to note that price is some 30% above levels that shares are currently changing hands, so there is room for more, at least according to Lewis.
4) Tesla: Elon Musk's firm is undoubtedly the leader in the electric vehicle field, and it has now topped Toyota to become the biggest carmaker – in terms of market capitalization. As Tesla is producing only a fraction of what its legacy automotive competition does, perhaps it is overvalued. That allows other firms such as Workhorse Group to come into the spotlight.
5) Robinhood hype: The accessible trading application has seen a surge in usage and people using it. They may either have free time due to lockdowns – or fewer things to gamble on as sports are shuttered. The young crowd using it often coalesces around specific stocks and NASDAQ: WKHS is an example. Accounts surge by 436% in June to 116,000.
These five reasons to rise join Workhorse Group's core offering, which combines a trio of winning advantages. It is not only limited to operating in the EV industry.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD clings to gains near 1.0700, awaits key US data
EUR/USD clings to gains near the 1.0700 level in early Europe on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
USD/JPY keeps pushing higher, eyes 156.00 ahead of US GDP data
USD/JPY keeps breaking into its highest chart territory since June of 1990 early Thursday, recapturing 155.50 for the first time in 34 years as the Japanese Yen remains vulnerable, despite looming intervention risks. The focus shifts to Thursday's US GDP report and the BoJ decision on Friday.
Gold closes below key $2,318 support, US GDP holds the key
Gold price is breathing a sigh of relief early Thursday after testing offers near $2,315 once again. Broad risk-aversion seems to be helping Gold find a floor, as traders refrain from placing any fresh directional bets on the bright metal ahead of the preliminary reading of the US first-quarter GDP due later on Thursday.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price.
Meta takes a guidance slide amidst the battle between yields and earnings
Meta's disappointing outlook cast doubt on whether the market's enthusiasm for artificial intelligence. Investors now brace for significant macroeconomic challenges ahead, particularly with the release of first-quarter GDP data.