![]() ![]() The potential for a game-changing win, the rush for the exits when the contract was lost and now more hopefuls climbing on board on thee long chance of a successful appeal.įactor all that out and you have a company with proven EV delivery options, signed customers and a huge addressable market. Workhorse investors have had a heck of a ride over the past year, but the volatility has all been based around the USPS contract. That’s what investors should be looking at - not fixating on the USPS contract. Other customers are already making purchases and that will ramp up. Add the current mandate to eliminate emissions, and the market for Workhorse’s EV delivery vans is huge. However, over twice that many delivery vans are sold every year in the U.S. Yes, losing the USPS contract for 163,000 vehicles was a blow. In May I wrote about the huge addressable market for Workhorse’s C650 and C1000. Interviewed in Bloomberg, a legal expert explained USPS contract reviews usually favor the original winner, noting: “‘These internal dispute resolution processes don’t really bring the relief’ that contract losers seek.” Retail investors are hoping for a win, but it seems unlikely. The move had been expected, but news it was happening resulted in a pop for WKHS stock. The latest chapter in this story kicked off on Wednesday when Workhorse officially appealed the USPS decision. Update: Workhorse Takes USPS Decision to Court, WKHS Pops Along with the defeat came a shareholder lawsuit. Naturally, WKHS stock came crashing to the ground when the USPS chose a defense contractor over Workhorse. So of course it turned in a quadruple-digit growth story. This was an even more important factor when the contract decision was extended again, and Joe Biden announced a push for made-in-America EV fleets.Īdding fuel to the fire, retailer investors turned WKHS into a meme stock through all this. And Workhorse was the only all-electric option. At that point, it was announced that Workhorse was one of the four remaining contenders for the $6 billion contract. A March 2020 deadline to make a decision was extended to July. Things got interesting when the USPS announced it would be taking bids to replace its fleet of 163,000 delivery vehicles. Its C650 and C1000 were designed for the last-mile delivery market. ![]() Last spring, Workhorse was a company focused on battery-powered electric delivery vans. Time for a quick bit of background, just in case you missed the incredible story behind Workhorse stock. Background: Workhorse Loses USPS Contract, WKHS Stock Pummeled ![]()
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