Nikola Corporation's stock, NKLA, is experiencing a downward spiral as the company's shares continue to plummet to new all-time lows following a recent reverse stock split. The reverse split, initiated by Nikola last week, was aimed at achieving compliance with Nasdaq's continued listing requirements. However, this move seems to have further diminished investor confidence in the company.

As of Monday, NKLA shares were trading well below the stock's 50-day moving average of $15.74, marking a significant decline. According to data from Benzinga Pro, the stock is currently down by 7.08% at $7.61.

In an attempt to offset the negative momentum, Nikola announced a major milestone last Thursday. The company successfully delivered a hydrogen fuel cell-powered electric semi-truck to Walmart Canada, a first for a retailer in Canada. This groundbreaking move aligns with Nikola's commitment to embracing new technology and driving change within the industry.

Walmart Canada CEO, Gonzalo Gebara, expressed excitement about the partnership, stating, "This is an example of how we will continue to push forward, embrace new technology, and spark change within the industry."

On another front, a Reuters report suggests that Nikola may seize an opportunity arising from Tesla's slow production ramp-up of Tesla Semis. Tesla is reportedly struggling to meet demands from major customers such as PepsiCo and Walmart. This situation could potentially benefit Nikola as it aims to secure its position in the burgeoning electric truck market.

As investors evaluate Nikola's future potential, it is essential to consider analyst forecasts. Currently, Wall Street analysts have an average 12-month price target of $1 for Nikola. Additionally, it is worth noting that the stock has significantly dropped by 81.63% year-to-date. Such figures indicate a possible continuation of the downward trend suggested by the average analyst price target.

While stocks typically don't move in a linear fashion, and the stock market's average return is approximately 10% per year, Nikola's recent performance and analyst predictions suggest potential downside ahead.

For a comprehensive overview of Nikola and its ongoing developments, interested individuals can visit the company's website. Furthermore, for investors seeking in-depth market insights, Benzinga Pro offers a free trial to help navigate the market with confidence.

It remains to be seen whether Nikola can reverse its fortunes amidst these challenges and capitalize on the opportunities presented by its groundbreaking technology and strategic partnerships.

Disclaimer: The above information is sourced from publicly available data and does not constitute financial advice. Potential investors are urged to conduct thorough research and seek professional guidance before making any investment decisions.