What happened
Nikola (NKLA -3.65%) shares were lower by as much as 13% this week, even as the company expanded its customer base. As of Thursday afternoon trading, the stock of the electric heavy truck maker regained some of those losses but remained down by about 6% since last Friday's close, according to data provided by S&P Global Market Intelligence.
So what
Growth investors have been focusing on earnings reports from big technology companies this week, which has helped the tech-heavy Nasdaq Composite index outpace the other major U.S. indexes with a small gain for the week. That has also meant higher-risk, unprofitable names like Nikola have been left behind.
Pessimism among investors remains high for Nikola's future. As of mid-April, about 25% of its shares were being shorted by investors, according to MarketWatch.
Now what
These factors have helped bring the shares to all-time low levels this week without any new negative catalyst related to the company. In fact, Nikola reported some positive news related to its underlying business this week. The company announced it was expanding its business in Canada with a new order from the Alberta Motor Transport Association (AMTA).
The not-for-profit group works to expand zero-emissions options for commercial transportation in Alberta. AMTA will purchase both a battery-powered and hydrogen fuel cell-powered electric truck from Nikola. The first truck is planned for delivery this week, with the hydrogen-fueled Nikola truck expected to be delivered by the end of 2023.
Nikola hopes it is the first step toward selling hundreds of trucks in a new major market. The order will also include refueling support through Nikola's hydrogen mobile fueler.
That's just one order for Nikola, though, and investors know it will take much more for the company to survive and thrive. Skepticism still remains among investors, and the announcement of a new order in the Canadian market this week wasn't enough to keep Nikola stock from sliding lower.
