Shares of Nikola Corp. (NKLA) sank 7.8% in morning trading Monday, while the electric truck maker provided a detailed rebuttal to what it called a "false and misleading" report issued by short-seller Hindenburg Research last week, in which Hindenburg called the electric truck maker an "intricate fraud." ( ) The stock has now plunged 40.1% amid a four-day losing streak. Nikola said it has contacted the Securities and Exchange Commission, as it believes the Hindenburg report was designed to manipulate the market to benefit short sellers after the positive news ( ) about the company's partnership with General Motors Co. (GM) Nikola said Hindenburn made dozens of inaccurate allegations, including a misrepresentation of Nikola's position on battery technology, attempts to falsely link the termination of a former CFO with the announcement that it would refund Nikola One reservation deposits, allegations that the 2016 Nikola One was not a real truck, that it mischaracterized a quote by a Bosch employee and that the company buys and does not make inverters in-house. Nikola's stock has soared 187.2% year to date through Friday, while the S&P 500 has gained 4.4%.
-Tomi Kilgore; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
September 14, 2020 20:50 ET (00:50 GMT)
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