Workhorse vs Nikola

Workhorse Group and Nikola Corporation are two prominent companies in the electric vehicle industry, each with their own unique strengths and weaknesses. Workhorse, known for its focus on electric delivery vehicles, has seen significant growth in recent years with partnerships in the commercial transportation sector. On the other hand, Nikola, with its innovative hydrogen fuel cell technology, has positioned itself as a key player in the sustainable transportation market. Both companies have been subject to intense scrutiny and market speculation, making them interesting stocks to watch.

Workhorse or Nikola?

When comparing Workhorse and Nikola, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Workhorse and Nikola.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Workhorse has a dividend yield of -%, while Nikola has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Workhorse reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Nikola reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Workhorse P/E ratio at -0.12 and Nikola's P/E ratio at -0.23. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Workhorse P/B ratio is 0.27 while Nikola's P/B ratio is 0.38.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Workhorse has seen a 5-year revenue growth of 3.17%, while Nikola's is 57.76%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Workhorse's ROE at -163.23% and Nikola's ROE at -141.54%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.81 for Workhorse and $4.18 for Nikola. Over the past year, Workhorse's prices ranged from $0.57 to $9.98, with a yearly change of 1641.71%. Nikola's prices fluctuated between $4.10 and $38.40, with a yearly change of 836.59%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.