![]() ![]() You can imagine that the possibility of the USPS decision being overturned is slim.Įven if the decision was somehow overturned the timeline would be long. This was after the company met with the USPS in March to understand why it hadn’t been chosen for the contract. In mid-June Workhorse filed a formal complaint in the United States Federal Court of Claims in protest of the award. The company is challenging the decision of the USPS in awarding Oshkosh the NGDV contract. That short interest could fall again at any time.īut that short interest isn’t the only catalyst bringing Workhorse higher since June. In my estimation that is hope based on tenuous demand. It has pundits wondering if prices may shoot up again. This interest is causing demand that has Workhorse shares sitting in the teens again. And although it has abated slightly, it remains extremely high at 36%. That short interest and meme stock fervor caused WKHS stock to rise again in early June. The market was betting that Workhorse would continue to fall. Short interest would unsurprisingly rise following the negative news regarding the Postal Service contract. That put it into a pattern in which it traded slowly sideways and downward for three months. WKHS stock immediately dropped off a cliff, falling from $30 to $15. Oshkosh was awarded the 10-year contract to build 165,000 delivery vehicles. 23 Workhorse’s aspirations would be swept out from underneath its feet. It looked like Workhorse was about to set itself up for potentially decades.īut then, on Feb. Earlier estimates placed the order at 180,000 vehicles and $6 billion in value. The winner of the NGDV contract would be set up for quite some time to say the least. After all, Karsan is based in Turkey and Oshkosh is known for military vehicles, not EVs.Īnd the stakes were high. It all seemed to favor Workhorse over the other finalists. The Grumman delivery vehicle up for replacement got a mere 10 miles to the gallon.Īnd then President Joe Biden signed a directive for the government to move toward an electric, domestically made fleet. Joining Workhorse was Oshkosh (NYSE: OSK) and a joint team consisting of Karsan, a Turkish EV maker, and Morgan Olson, a leading maker of aluminum walk-in vans in Michigan.īut there were rumblings that the USPS Next Generation Delivery Vehicle (NGDV) contract favored Workhorse. Even back in January 2020, Workhorse was listed among the four finalists to replace the USPS’ aging delivery vehicle. ![]() Workhorse had already burst onto the scene in June on SPAC rumors related to Lordstown Motors (NASDAQ: RIDE).īut Workhorse had long before been identified as a finalist to win the contract to replace the USPS Grumman truck that has become so iconic. The United States Postal Service was responsible for a good portion of the demand that drove Workhorse share prices up from mid-2020 to early 2021. ![]()
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