Nikola (NASDAQ:NKLA) stock is soaring on Wednesday morning thanks to news of an upgrade from one member of Wall Street.
JP Morgan analyst Paul Coster raised Nikola from “neutral” to “overweight”, and kept his price target at $45 on Wednesday morning. With the price down nearly 40% from its recent high last month around $94 per share, Coster cites that the company has a “number of potential positive catalysts in coming weeks and months.”
In turn, this is making the stock look more attractive to investors.
Moreover, Coster calls Nikola a “story stock,” but also stated that he is “on board as long as the company executes to plan.” In fact, he expects a handful of developments to emerge from the company in the future. This includes an announcement regarding a manufacturing partner for the Badger truck and a plan for deploying a hydrogen-fuel station in the U.K., among other things.
That said, the Nikola news has NKLA stock flying higher on Wednesday. Shares are up 23% as of this writing.
Nick Clarkson is a web editor at InvestorPlace. As of this writing, he did not hold a position in any of the aforementioned securities.