Battle Over Board Seats Leads to Double-Digit Drop in Nikola Stock

A former chairman is still a thorn

The drop in Nikola stock can be linked to a battle for board seats highlighted in a letter to stockholders. Chairman Steven Shindler opposes the former chairman Trevor Milton's attempt to influence the company's decisions, citing lack of experience and expertise in the business.

The path to success faces obstacles

Building infrastructure for hydrogen fuel cell trucks is crucial for Nikola's growth, but faces challenges such as limited charging stations and high fuel costs. Analysts warn of these hurdles affecting customer engagement with the new technology.

Investor caution amid uncertainty

With stock prices fluctuating and uncertainty looming over boardroom conflicts, some investors are cautious about committing to Nikola shares. The company's future success hinges on overcoming internal power struggles and focusing on infrastructure development.