Workhorse Group (WKHS) AI Stock Analysis

• Market Cap: $20.97M
• Dividend Yield: N/A
• Average Volume (3M): 1.18M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.22
• Revenue Growth: 11.73%
• EPS Growth: 74.79%
• Country: US
• Employees: 143
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Auto - Manufacturers
• EPS (TTM): -1.67
• Shares Outstanding: 19,059,954
• 10 Day Avg. Volume: 1,029,720
• 30 Day Avg. Volume: 1,182,898
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.41
• Enterprise Value/Revenue: 2.75
• Enterprise Value/Gross Profit: -1.37
• Enterprise Value/Ebitda: -0.54
• 1Y Price Target: $1.50
• Price Target Upside: 36.36% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 44 Neutral
• Price Target: $1.00 ▼(-9.09% Downside)

Workhorse Group's overall stock score is primarily impacted by its poor financial performance, characterized by persistent losses and high leverage. While the earnings call provided some positive insights, such as record shipments and strategic merger plans, these are overshadowed by ongoing financial challenges and technical indicators suggesting a bearish trend. Valuation metrics further reflect the company's unprofitability, contributing to a low overall score.

Positive Factors

Strategic Merger with Motiv

The merger with Motiv is expected to enhance Workhorse's market position, operational efficiency, and financial strength, providing a platform for scalable growth and margin expansion in the medium-duty EV market.

Record Truck Shipments

Record shipments indicate strong demand and operational success, suggesting the company's products are gaining traction in the market, which could drive future revenue growth and market share.

Incentives for W56 Step Van

Eligibility for significant incentives can boost sales by reducing costs for fleet operators, enhancing the competitive position of Workhorse's electric vehicles in key markets.

Negative Factors

High Leverage

High leverage indicates potential financial risk, limiting the company's ability to invest in growth opportunities and increasing vulnerability to economic downturns.

Negative Cash Flow

Negative cash flow suggests ongoing liquidity challenges, which could hinder the company's ability to sustain operations and invest in strategic initiatives without additional financing.

Operational Challenges

Operational challenges from regulatory changes can slow growth and market penetration, impacting the company's ability to scale and achieve long-term strategic goals.

Workhorse Group Business Overview & Revenue Model

Company Description

Workhorse Group Inc., a technology company, engages in design, manufacture, and sale of zero-emission commercial vehicles in the United States. The company offers electric and range-extended medium-duty delivery trucks under the Workhorse brand; and HorseFly Unmanned Aerial System, a custom-designed purpose-built all-electric drone system. It also provides Metron, an air delivery application that tracks the performance of various the vehicles deployed. The company was formerly known as AMP Holding Inc. and changed its name to Workhorse Group Inc. in April 2015. Workhorse Group Inc. was founded in 2007 and is headquartered in Loveland, Ohio.

How the Company Makes Money

Workhorse Group generates revenue primarily through the sale of its electric delivery vehicles to commercial clients, including fleet operators and logistics companies. The company has established key partnerships with various organizations to enhance its distribution capabilities and expand its market presence. Additionally, Workhorse may earn revenue from service agreements, maintenance contracts, and potential licensing of its drone technology. The company is also involved in research and development (R&D) initiatives, which could lead to future revenue streams through innovative products and solutions in the electric vehicle and drone delivery markets.

Workhorse Group Financial Statement Overview

Summary

Workhorse Group faces significant financial challenges across all verticals. The income statement shows persistent losses despite revenue growth, the balance sheet indicates high leverage and low equity, and cash flow statements reflect ongoing cash deficits. The company needs to address these issues to improve financial health and stability.

Income Statement

Workhorse Group's income statement shows significant challenges with negative gross and net profit margins, indicating unprofitability. Despite a notable revenue growth rate of 81.57% in the TTM, the company continues to incur substantial losses, as evidenced by negative EBIT and EBITDA margins. The trajectory suggests ongoing operational difficulties.

Balance Sheet

The balance sheet reflects a high debt-to-equity ratio of 1.61 in the TTM, indicating significant leverage and potential financial risk. The return on equity is negative, highlighting the company's inability to generate profits from shareholders' equity. The equity ratio is low, suggesting limited financial stability.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows, with a declining free cash flow growth rate. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is slightly above 1, but overall cash flow health remains weak.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	10.75M	6.62M	13.09M	5.02M	-851.92K	1.39M
Gross Profit	-21.57M	-22.23M	-25.26M	-32.65M	-133.34M	-11.67M
EBITDA	-55.04M	-71.76M	-111.24M	-113.90M	-414.55M	-40.17M
Net Income	-81.74M	-101.79M	-123.92M	-105.47M	-401.34M	69.78M
Balance Sheet
Total Assets	99.25M	93.84M	141.67M	182.74M	228.14M	632.54M
Cash, Cash Equivalents and Short-Term Investments	2.19M	4.12M	25.85M	99.28M	201.65M	46.82M
Total Debt	44.54M	16.32M	29.02M	10.13M	26.26M	199.11M
Total Liabilities	76.91M	49.55M	58.56M	74.16M	53.45M	237.34M
Stockholders Equity	22.35M	44.29M	83.11M	108.59M	174.69M	395.20M
Cash Flow
Free Cash Flow	-31.86M	-51.65M	-141.71M	-111.32M	-137.89M	-76.01M
Operating Cash Flow	-31.55M	-47.59M	-123.02M	-93.82M	-132.58M	-70.28M
Investing Cash Flow	-304.94K	-4.06M	-18.69M	-20.02M	99.81M	-5.73M
Financing Cash Flow	51.27M	20.45M	78.28M	11.47M	-6.82M	292.37M

Workhorse Group Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 1.10
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WKHS, the sentiment is Neutral. The current price of 1.1 is above the 20-day moving average (MA) of 1.10, below the 50-day MA of 1.20, and below the 200-day MA of 2.52, indicating a neutral trend. The MACD of -0.03 indicates Negative momentum. The RSI at 46.62 is Neutral, neither overbought nor oversold. The STOCH value of 63.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for WKHS.

Workhorse Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
WKHS	44 Neutral	$20.97M	-0.04	-201.87%	―	11.73%	74.79%
EVTV	41 Neutral	$5.75M	-0.15	-189.10%	―	2.97%	-11.17%
SBLX	39 Underperform	$6.32M	-0.09	-264.35%	―	-98.22%	49.35%
PEVM	38 Underperform	$7.69M	―	-119.04%	―	―	―
BINI	37 Underperform	$1.94M	―	―	―	5865.42%	99.51%
ZAPPF	28 Underperform	$1.37M	―	―	―	―	―

Workhorse Group Corporate Events

Workhorse Group’s Earnings Call: Strategic Gains Amid Challenges

Workhorse Group’s recent earnings call painted a picture of optimism and strategic advancement, despite some underlying challenges. The company, along with its merger partner Motiv, showcased a robust second quarter performance with record truck shipments and notable financial improvements. While increased costs of sales and reliance on external financing were highlighted as challenges, the overall sentiment was positive, with the benefits seemingly outweighing the negatives.

Workhorse Group Announces Merger with Motiv

On August 19, 2025, Workhorse Group Inc. will present to industry analysts about transactions detailed in a recent report, highlighting a merger with Motiv. This announcement is significant for Workhorse as it could impact their market positioning and operational strategies, with potential implications for stakeholders, including regulatory approvals and market reactions.

The most recent analyst rating on (WKHS) stock is a Hold with a $1.50 price target. To see the full list of analyst forecasts on Workhorse Group stock, see the WKHS Stock Forecast page.

Workhorse Group’s Q2 2025: Sales Surge and Strategic Merger

Workhorse Group Inc. is a technology company focused on developing zero-emission commercial vehicles, primarily serving the last-mile delivery and medium-duty truck markets in North America. The company is known for its innovative approach to electric vehicle manufacturing and its commitment to sustainability.

Workhorse Group Announces Merger with Motiv Power Systems

On August 15, 2025, Workhorse Group Inc. entered into a merger agreement with Motiv Power Systems, Inc., aiming to create a leading medium-duty electric truck OEM in North America. The merger, which involves an all-stock transaction, positions Motiv’s controlling investor as the majority owner of the combined company, while Workhorse shareholders retain a significant equity stake. The merger is expected to enhance the combined company’s financial profile and operational scale, allowing it to offer a broader portfolio of commercial electric vehicles at lower costs. The transaction also includes a $20 million sale leaseback of Workhorse’s Union City plant and a $5 million convertible note, providing liquidity to fund operations and repay existing debt. The merger is anticipated to drive cost synergies and strengthen the company’s market position in the electric vehicle industry.

The most recent analyst rating on (WKHS) stock is a Hold with a $15.63 price target. To see the full list of analyst forecasts on Workhorse Group stock, see the WKHS Stock Forecast page.

Workhorse Group Delays Quarterly Report Filing

Workhorse Group Inc., a company known for its innovative electric delivery vehicles, has announced a delay in filing its Form 10-Q (Quarter Report) for the financial period ending June 30, 2025. The delay is primarily due to the company’s need for additional time to incorporate recent events into the report, which could not be achieved without unreasonable effort and expense. Workhorse Group anticipates filing the delayed report by August 19, 2025, within the five-day extension period allowed. The company has stated that no significant changes in financial results are expected compared to the previous year. Workhorse Group remains committed to compliance and transparency, as evidenced by the notification signed by James D. Harrington, the General Counsel, Chief Compliance Officer, and Secretary.

The most recent analyst rating on (WKHS) stock is a Hold with a $15.63 price target. To see the full list of analyst forecasts on Workhorse Group stock, see the WKHS Stock Forecast page.

Workhorse Group Reenters Exclusivity Agreement for Merger

On August 4, 2025, Workhorse Group Inc. announced that it has reentered an exclusivity agreement with a privately held U.S.-based manufacturer of electric commercial vehicles. This agreement reinstates restrictions from a previous agreement, which expired on July 28, 2025, and is part of ongoing discussions about a potential merger where the manufacturer would be merged into a newly created subsidiary of Workhorse in exchange for newly issued shares. The potential transaction could impact the company’s operations and market positioning, but it is subject to various risks and uncertainties, including regulatory approvals and market reactions.

The most recent analyst rating on (WKHS) stock is a Hold with a $15.63 price target. To see the full list of analyst forecasts on Workhorse Group stock, see the WKHS Stock Forecast page.