On Monday morning started another red day for Nikola Corporation (NASDAQ:NKLA) stock price. Shares of Nikola fell almost 3% when Founder of Nikola, Trevor Milton, published:”First sightings of the #NikolaBadger and the first time we have ever released images of the build.”
First sightings of the #NikolaBadger and the first time we have ever released images of the build. Want more? Keep an eye out every couple weeks as we release more leading up to #nikolaworld2020 pic.twitter.com/zJhdJu4VBk— Trevor Milton (@nikolatrevor) August 24, 2020
Soon after that tweet shares slightly bounced back but nothing significant happened as investors are not thrilled by another set of photos and 3D images.
Mr. Milton then continued to boost investor confidence by bragging about the amount of cash on hand ($910MM) and how people should not bet against Nikola.
But the big news is hidden in the comment area of that tweet. When a person asked:”What are your plans on dropping the price of hydrogen to the point it’ll be worth it?”, Mr. Milton answered:”We are already under $4 for production pump pricing – latest analysis. That’s cheaper than diesel already. Hence our order backlog.”
The emerging market for hydrogen transportation is growing even faster than the electric car market. The hydrogen sector is being promoted seven times more strongly than electric car stocks a decade ago. The market will multiply fast. In EU hydrogen currently makes up less than two percent of the European energy mix. But EU Commissioner Kadri Simson believes that up to a sevenfold increase to a share of 14 percent of the energy supply is possible by 2050.