Nikola News: Why NKLA Stock Is Soaring 23% Today

NKLA stock received a boost after a rating upgrade from one analyst

Nikola (NASDAQ:NKLA) stock is soaring on Wednesday morning thanks to news of an upgrade from one member of Wall Street.

the Nikola website homepage on a cell phone screen
Source: Stephanie L Sanchez /

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.

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