- Nikola is heavily invested in FCEVs, but the early-stage infrastructure for hydrogen could prove to be a hindrance in terms of mass adoption.
- Investors should expect Nikola's cash burn rate to continue declining and should be expected to require secondary offering or further debt financing, lest they face closure.
- The outlook on FCEV in terms of infrastructure is mixed, with China having significant developments and a contrarian vision by Volkswagen AG subsidiary, Scania.
- The milestone of $2/kg for hydrogen competitiveness against electricity and diesel is viable in the medium term, and all eyes are on Nikola's ability to balance expansion and a sustainable cash burn rate.
For further details see:
Stay Away From Nikola For Now