Tesla competitor Nikola Motors skyrockets 93% after setting reservation date for its electric truck

NikolaNikola Badger Electric Pickup Truck.
  • Nikola Corp. soared more than 93% on Monday after setting a reservation date for its new electric truck, Badger.
  • The zero-emissions vehicle manufacturer plans to open reservations for the Badger on June 29, according to a tweet from Trevor Milton, the founder and chairman of Nikola.
  • Nikola Corp. went public through a reverse merger with VectoIQ Acquisition Corp. last week, and is one of the first pure-play electric-vehicle competitors to Tesla.
  • Visit Business Insider’s homepage for more stories.

Tesla competitor Nikola Corp. skyrocketed as much as 93% on Monday after setting a June 29 reservation date for its new electric truck, the Badger.

Trevor Milton, founder and chairman of Nikola, detailed in a tweet on Monday plans to debut its Badger truck and open up reservations to consumers. Nikola Corp. was founded in 2016 and is focused on building electric and fuel cell powered trucks, including a pick-up truck and an 18-wheeler.

The company went public last week through a reverse merger with VectoIQ Acquisition Corp. Since announcing its planned reverse merger with VectoIQ on March 3, shares are up as much as 560%.

The company said it has upward of $US10 billion in potential revenue from pre-orders, and it expects to start generating revenue in 2021.

Read more:
MORGAN STANLEY: The stock market is entering a new phase of a playbook that’s thrived in past recessions. Here’s how to tweak your portfolio to take advantage.

The company differs from Tesla in that its electric trucks run will run on hydrogen fuel cells. Instead of building out a network of electric vehicle chargers like Tesla, Nikola plans to build infrastructure to support a network of hydrogen fuel refill stations across the country.

One potential benefit of hydrogen fuel cells is a quick refuel time akin to filling up a gas tank with gasoline, rather than having to wait upward of an hour to get a decent charge from a high-powered electric-vehicle charging station.

Tesla joined Nikola in hitting all-time highs on Monday, with shares of Tesla up on optimism around its Chinese business.

Nikola shares traded to a high of $US69.59 Monday afternoon, representing a one-day gain of 93%.

Markets Insider

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.