The New Daily 10X Stock Report: 98.7% Accuracy – Gains Up to 466.78%. With the surge in the growth of e-commerce, there is a need for more cost-effective last-mile delivery vehicles. None of them have a created a last-mile EV delivery solution that is as robust as Workhorse’s solution. Workhorse estimates that its vehicles have 60% less maintenance expense versus fossil-fueled trucks. 2020 InvestorPlace Media, LLC. A big part of this involved a merger with Workhorse Custom Chassis, which was founded in 1998. Thanks to better technology, more streamlined manufacturing processes and increased scale, the cost to produce EVs is dropping dramatically, resulting in huge drops in EV prices. And yes, Workhorse is a pretty good option. Let’s face it, the federal government can be slow and there will be considerable lobbying. It would likely encourage other large customers, like Amazon (NASDAQ:AMZN), United Parcel Service (NYSE:UPS) and FedEx (NYSE:FDX), to consider Workhorse vehicles for large deployments. Now for a limited time… you can get in for just $19. Click here to find out how. Postal Service, which is in the process of upgrading its fleet of 165,000 vehicles and the contract could be worth over $6 billion. Thus, if you do make an investment, it’s probably best to not get too aggressive. Young consumers — who were raised to be hyper-aware of the environment and educated on how to reduce carbon emissions — want EVs. But there is likely to be significant growth in the coming years. 1125 N. Charles St, Baltimore, MD 21201. These young consumers are just now starting to come into jobs and a ton of purchasing power. 98.7% Accuracy to Date – Gains Up to 466.78%. All rights reserved. You’ll get the name & ticker of Matt McCall’s top pick when you tune in to his FREE event. Second, the technology is getting better. In addition to Workhorse, left in the mix for the postal contract are Oshkosh Corporation, a Wisconsin-based company that builds specialty trucks, and commercial vehicle maker Karsan Automotive in Turkey. On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article. The Newport Beach, Calif., firm had targeted Workhorse stock at $33 heading into Tuesday, when the company anticipated a decision from the postal service on the $8.1 billion contract to manufacture 165,000 new vehicles. So, by 2025, Workhorse’s C-Series electric delivery vans will be miles ahead in terms of efficiency, performance and affordability than diesel trucks and other electric vans. Copyright © Postal Service contract to make its next-gen delivery trucks has downgraded the company’s stock. Workhorse is the developer of electric vehicles for last-mile delivery. The Man Who Recommended 23 1,000% Winners Is Revealing His #1 Stock for 2020. At first, the focus was on developing EVs for two-seat roadsters. He is also the founder of WebIPO, which was one of the first platforms for public offerings during the 1990s. Copyright © The Vindicator | | 240 Franklin Street SE, Warren, OH 44483 | 330-841-1600 | Ogden Newspapers | The Nutting Company | Terms of Service. So EV technology is already good enough to almost fully replace legacy vans in the last mile delivery market. This is resulting in falling EV list prices (the median sales price of a new EV dropped 70% between 2010 and 2016), to a point where these vehicles are now affordable to many Millennial car buyers. It is also important that the company’s vehicles are not just a concept. After all, if things pan out, the return should be substantial anyway. Postal Service Contract Workhorse (NASDAQ:WKHS) stock has been trading for the past decade or so. That is an impressive run! But this is not the only major catalyst for WKHS stock. Indeed, over the past few years, Workhorse’s trucks have increased efficiency by 25%, reduced operating costs, increased driving range, reduced charging times and reduced weight. This could translate into $170,000 in savings over a 20-year period. Workhorse stock is a long-term winner. WKHS 22.81 0.51 (2.29%). The company got its start back in 2007 and was called AMP Electric Vehicles. Yes, it’s come a long ways it a short time. This is perhaps the biggest near-term risk. On the date of publication, Tom Taulli did not have (either directly or indirectly) any positions in any of the securities mentioned in this article. It’s far from clear how things may turn out. There’s no doubt about it. To that end, buying Workhorse and other EV stocks offers investors a great way to play this electrification megatrend. Workhorse is pioneering a best-in-breed solution to lead this disruption. Such technological advancements will only persist over the next few years, with a potential jump to solid-state batteries being a huge upward catalyst. But on the next pullback, buy the dip. 98.7% Accuracy to Date – Gains Up to 466.78%. Now for a limited time… you can get in for just $19. Post-Market 0.21 (0.92%) Nasdaq But it did not get much attention until this year. “We always viewed political optics of an award before the election as essential, and now see increased risk for an award,” the published report states of Roth analyst Craig Irwin’s comment. They are also equipped with a wide-reaching distribution deal with Ryder – one of North America’s largest delivery van retailers – and have already scored huge partnership deals with UPS and USPS. Nasdaq Keep in mind that the company has a 10% equity stake in Lordstown Motors. 1125 N. Charles St, Baltimore, MD 21201. I say “already” because diesel trucks aren’t going to get more efficient or cheaper anytime soon. Consider that WKHS stock has soared from $1.32 to a high of $30.99. There are few trends driving this disruption. Workhorse Stock Could Skyrocket on a U.S. Don’t blindly chase the rally. Since 2013, average EV battery pack prices have fallen 76%, according to Bloomberg New Energy Finance. Steve Burns, founder and CEO of Lordstown Motors, also founded Workhorse. Given that the last-mile delivery market is an oligopoly and that all of the major players will electrify sooner rather than later, it is quite likely that nearly 100% of the 350,000 delivery van market in the U.S. is electric by 2030. Workhorse does have contracts — albeit relatively small — with companies like Ryder (NYSE:R). This is a corporation that raises money through an IPO and then merges with an operating company. Financial Market Data powered by FinancialContent Services, Inc. All rights reserved. Copyright © quotes delayed at least 15 minutes, all others at least 20 minutes. But given the ROI of Workhorse vehicles, it does seem reasonable that the company has a decent chance of being the winner — or at least having some role in the contract. Plus, Workhorse is developing drone delivery technology – dubbed HorseFly – to be integrated with its delivery vans. At the same time, Workhorse’s vans are the only medium duty electric van permitted to sell and deliver vehicles in all 50 states. Because WKHS still has tons of upside potential over the next few years as the last mile delivery market gets electrified. Because of the strong return on investment, the company has taken a premium pricing model. The company was the developer of General Motors’ (NYSE:GM) chasses. As a result, the merger allowed for the new entity — Workhorse — to become a full-blown manufacturer. But Workhorse’s C-Series trucks will, as EV battery technology improves over the next few years. If Workhorse nabs just 10% of that market at $75,000 average prices and 15% operating margins, then my modeling suggests that net profits should round out to ~$300 million by 2030. Workhorse surged 600% in the month of June, making it the second-best performing stock on the Nasdaq Composite Index. All rights reserved. The Lordstown Motors plant, the former General Motors assembly plant, is likely the manufacturing site for the Workhorse mail truck should the company prove successful. What if the company does not win the U.S. Post Office contract? All of them are here to stay. Workhorse Stock Could Skyrocket on a U.S. They are now at $22. About 80% of freight in the U.S is transported less than 250 miles, whereas your average EV has about a 300-mile driving range. 1125 N. Charles St, Baltimore, MD 21201. As for Lordstown Motors, it is looking to merge with the DiamondPeak Holdings (NASDAQ:DPHC) SPAC. Workhorse’s C650 and C1000 step vans have a modular battery pack system, which has 35 to 70 kilowatt hours of power and 100-mile ranges. Tuesday marked the end of the 90-day period in which the postal service previously had stated a decision would be made, according to Roth. Over the next decade, they will increasingly drive auto market demand — and if all of them want EVs, then it’s easy to see how EVs take over the passenger car market from a demand perspective in the 2020s. Roth called Workhorse the “best fit” for the contract and predicted a “positive outcome” for the company.