EV truck manufacturer Nikola (NASDAQ:NKLA) will be reporting earnings tomorrow before market hours. Here's what investors should know.
Nikola missed analysts' revenue expectations by 51.1% last quarter, reporting revenues of $7.50 million, down 32.6% year on year. It was a mixed quarter for the company, with revenue and adjusted operating income missing expectations.
Is Nikola a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Nikola's revenue to grow 60.5% year on year to $24.66 million, a reversal from the 15.3% decrease it recorded in the same quarter last year. Adjusted loss is expected to come in at -$2.70 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Nikola has missed Wall Street's revenue estimates five times over the last two years.
Looking at Nikola's peers in the industrials segment, some have already reported their Q2 results, giving us a hint as to what we can expect. General Motors delivered year-on-year revenue growth of 7.2%, beating analysts' expectations by 5.9%, and Ford reported revenues up 6.3%, topping estimates by 6.5%. General Motors traded down 6.2% following the results while Ford was also down 18.3%.
Read our full analysis of General Motors's results here and Ford's results here.
Investors in the industrials segment have had fairly steady hands going into earnings, with share prices down 1.5% on average over the last month. Nikola is down 22.8% during the same time and is heading into earnings with an average analyst price target of $29 (compared to the current share price of $7.33).
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