Nikola Founder Quits
Shares of Nikola started the day falling nearly thirty percent. It is bounced back up from that last I checked it was only down around fifteen sixteen percent. And this is because Trevor Milton the founder of the electric truckmaker is stepping down as chairman of the board. This is effective immediately, and it comes in the wake of investigations started by both the SEC and the justice. Department on the potential that Nikola has misled investors. For those. You know was at Hindenburg research is that the outfit that came out with a short report about ten days ago? A. Certain. That they believe that this is a where there's smoke there's fire. Situation. But. I don't know this guy. This seems like one of those sudden. Effective immediately departures that doesn't happen if everything is going great at the company. Yeah I would say this is one of the more impactful short reports that I. can recall given the speed with which have been happening both You know when a fairly thorough Report comes out from some of the names that we know in in that space that can be twenty thirty percent on a stock, and that was the case with. but then to. Drive out. Let's for the moment. Give it to the short report for today's News I'm sure that that is not Company is spinning but I'm GonNa go ahead and do it for the moment and say that a speed with which we've seen reaction to a short report that I can't recall and for a company that was in the news on its. Seeming merits for an improved situation having just locked up a deal with the GM selling eleven percent of itself to GM. For some in kind services of this says been a reversal of fortune for Nikola and its shareholders that is if not unique, you know on a shortlist. Yeah, and to your point, just to give a little bit more detail. Hindenburg research came out September tenth with a report entitled Nikola how to Parlay an ocean of lies into a partnership with the largest auto em in America.