Traders Buy Large Volume of Call Options on Nikola (NASDAQ:NKLA)

Nikola Co. (NASDAQ:NKLA) was the recipient of some unusual options trading on Friday. Stock traders purchased 75,258 call options on the company. This is an increase of approximately 88% compared to the average daily volume of 40,111 call options.

Nikola Stock Performance

NASDAQ:NKLA traded up $0.05 during midday trading on Friday, reaching $1.19. The stock had a trading volume of 8,492,992 shares, compared to its average volume of 4,221,139. The company has a debt-to-equity ratio of 0.71, a current ratio of 1.17 and a quick ratio of 0.94. Nikola has a 1-year low of $1.08 and a 1-year high of $34.50. The firm’s fifty day simple moving average is $2.46 and its 200-day simple moving average is $5.95. The stock has a market capitalization of $72.43 million, a P/E ratio of -0.08 and a beta of 1.92.

Nikola (NASDAQ:NKLA) last announced its earnings results on Thursday, October 31st. The company reported ($2.75) earnings per share for the quarter, missing the consensus estimate of ($2.24) by ($0.51). Nikola had a negative net margin of 840.44% and a negative return on equity of 95.73%. The business had revenue of $25.20 million for the quarter, compared to the consensus estimate of $37.23 million. The business’s revenue for the quarter was up 1382.4% on a year-over-year basis.

Institutional Trading of Nikola

Hedge funds have recently bought and sold shares of the stock. Barclays PLC grew its position in Nikola by 121.1% during the third quarter. Barclays PLC now owns 9,475 shares of the company’s stock worth $43,000 after buying an additional 5,190 shares in the last quarter. One Wealth Management Investment & Advisory Services LLC acquired a new stake in shares of Nikola during the 3rd quarter worth approximately $110,000. Sanctuary Advisors LLC bought a new stake in shares of Nikola during the second quarter valued at approximately $138,000. Zurcher Kantonalbank Zurich Cantonalbank raised its stake in shares of Nikola by 84.3% in the third quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 45,312 shares of the company’s stock valued at $208,000 after purchasing an additional 20,723 shares in the last quarter. Finally, Point72 DIFC Ltd acquired a new position in shares of Nikola in the 2nd quarter worth approximately $215,000. 37.38% of the stock is owned by institutional investors.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the company. Bryan, Garnier & Co lowered Nikola from a “buy” rating to a “neutral” rating in a research report on Thursday, November 7th. DA Davidson dropped their price objective on Nikola from $12.00 to $4.00 and set a “neutral” rating on the stock in a report on Monday, November 11th. TD Cowen reduced their target price on shares of Nikola from $10.00 to $4.00 and set a “hold” rating for the company in a research note on Friday, November 1st. Finally, Robert W. Baird dropped their price target on shares of Nikola from $14.00 to $10.00 and set an “outperform” rating on the stock in a research note on Friday, November 1st. Four analysts have rated the stock with a hold rating and one has assigned a buy rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $12.00.

Nikola Company Profile

Nikola Corporation operates as a technology innovator and integrator that develops energy and transportation solutions in the United States and internationally. The company operates in truck and energy units. It commercializes battery electric vehicles (BEV) and hydrogen fuel cell electric vehicles (FCEV) to the trucking sector.