Lightning eMotors price target lowered to $2.50 from $6.50 at Northland

Northland analyst Abhishek Sinha lowered the firm’s price target on Lightning eMotors to $2.50 from $6.50 and keeps an Outperform rating on the shares, noting that the stock "took a nosedive" amid the recent announcement of conversion of its convertible note. While this could be attributed to shareholder dilution and a sign of cash-crunch, "the severity of the stock crash is the amplification of negative sentiment," argues Sinha, who believes Lightning still has support from "a strong business underpinned by a wave of EV transition."