#1 - CNH Industrial (NYSE:CNHI)
Another partner that is enjoying a lift in its stock due to Nikola is CNH Industrial (NYSE: CNHI). The two companies are partnering to produce the Nikola TRE, its battery electric vehicle (BEV) heavy-duty truck. This will be the precursor to Nikola’s fuel cell electric (FCEV) model in 2023. The partnership will run through IVECO and FPT Industrial. These are the commercial vehicle and powertrain brands of CNH.
The exclusive partnership will include CNH taking a $250 million stake in Nikola. “Our European joint-venture with Nikola and today’s announcement is real proof that zero-emission long-haul transport is becoming a reality, resulting in tangible environmental benefits for Europe’s long-distance haulers and its citizens,” said Hubertus Muhlhauser, Chief Executive Officer, CNH Industrial.
Although CNHI is still down for the year, largely due to the fallout from the Covid-19 pandemic, the stock has been rallying. In June CNH received a revised price target of $8 (from $6.50) confirming the growing bullish sentiment for the stock. The stock has a consensus price target of $8.36 which would give the stock a boost of more than 18% from its current level.
About CNH Industrial
CNH Industrial N.V., an equipment and services company, engages in the design, production, marketing, sale, and financing of agricultural and construction equipment in North America, Europe, the Middle East, Africa, South America, and the Asia Pacific. The company operates through three segments: Agriculture, Construction, and Financial Services.
Read More - Current Price
- $11.48
- Consensus Rating
- Hold
- Ratings Breakdown
- 6 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $15.27 (33.0% Upside)
