Why Workhorse Group Shares Are Accelerating Today
The U.S. Postal Service has altered course a bit on its plans for replacing its aging fleet of delivery vehicles, and now says it plans to buy significantly more electric delivery vehicles in the years to come than it previously forecast. That news has shares of Workhorse Group (NASDAQ: WKHS), a one-time candidate to provide those vehicles, up more than 20% at one point on Wednesday.
Investors need to be careful not to get ahead of themselves.
Workhorse is an electric vehicle start-up whose short history is tied closely to the Post Office's plans to revitalize its fleet. The company had initially hoped a big contract from the USPS would jump-start its business, but in February 2021, rival Oshkosh won that massive $6 billion contract.
Source Fool.com
