Nikola initiated with an Outperform at Baird

Baird initiated coverage of Nikola with an Outperform rating and $2 price target. The analyst sees “significant potential” in the market for zero-emissions trucking and believes Nikola “has finally found the right management team to capitalize on the opportunity.” The company’s proprietary design and software are key differentiators versus traditional diesel trucks, says Baird, which sees potential catalysts ahead for both the truck and energy businesses in the form of manufacturing improvements, customer and partnership announcements, and hydrogen infrastructure buildout.