Nikola may keep its shares off Nasdaq

Nikola Corp's electric truck maker, Nikola, may want to keep the company's shares from being delisted by Nasdaq.

The move is considered a reverse stock split in order to meet minimum bid price requirements within a certain period, Lohscheller said.

Nikola shares were down 57 cents at 57 cents on the Nasdaq stock market on Thursday.

The firm is grappling with numerous expenses, high cash burn, and sluggish demand for its battery-powered trucks.

It received a delisting notice from Nasdaq last week.

If one trades below the mark for 30 consecutive business days, Nasdaq requires shares to trade above $1 and sends a notification if one trades below the mark for 30 consecutive business days.

Companies then have a 180-day period in which the stock must trade at least $1 for at least 10 consecutive days to comply with the rules, although a second 180-day period can be granted if it meets other requirements.

The price has dropped a lot.

A reverse stock split consolidates the number of existing shares into fewer shares.

We have tough decisions to make as we navigate through challenging times, Lohscheller said.

On Thursday, the CEO urged shareholders to vote on the company's annual meeting next week in favor of increasing the company's share value.