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Shares of cash-strapped Nikola nosedive on report of potential sale

1. Nikola's shares dropped 27.8% after sale option reports. 2. Stock closed at 85 cents, a new 52-week low of 76 cents. 3. Company only has enough cash to operate until Q1 2025. 4. CEO indicates negotiations with potential partners to raise new funds. 5. Nikola is under scrutiny similar to other failed SPAC-backed EV companies.

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FAQ

Why Very Bearish?

The significant drop in shares indicates a loss of investor confidence, especially given Nikola's prior performance and financial struggles.

How important is it?

The article highlights key challenges Nikola faces, directly impacting investor sentiments and future stock performance.

Why Short Term?

With the urgent financial situation, immediate impacts on stock price are expected.

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