WKHS Overview

Stock Performance: Workhorse Group Inc shares are down 12.52% to $6.64 following a 1-for-12 reverse stock split aimed at meeting Nasdaq's minimum bid price requirements amid a merger with Motiv Power Systems.

Earnings Report Impact: The company's recent third-quarter earnings report showed mixed results, with a narrower loss per share of 50 cents but revenue falling short of analyst expectations at $2.39 million.

Market Sentiment: Reverse stock splits are often viewed negatively by investors as they can signal distress, leading to concerns about potential future dilution and the company's financial health.

Technical Analysis: Workhorse's stock is trading significantly below its 50-day and 200-day moving averages, indicating a bearish trend and substantial resistance in regaining lost value.

Reverse Stock Split: Workhorse Group Inc. executed a 1-for-12 reverse stock split, reducing outstanding shares from approximately 26 million to about 2.17 million, effective at Monday's market open.

Purpose of the Split: The reverse split aims to help Workhorse meet Nasdaq's minimum share-price requirements for its proposed merger with Motiv Power Systems, although success is not guaranteed.

Stock Performance: Following the split, Workhorse shares initially rose but have since fallen, trading 18.48% lower at $7.64 at the time of reporting.

Adjustments to Securities: The trading symbol for WKHS remains unchanged, and adjustments will be made to outstanding options, warrants, and restricted stock to reflect the reverse split.

Zacks Rank Upgrade: Workhorse Group (WKHS) has been upgraded to a Zacks Rank #2 (Buy) due to a significant increase in earnings estimates, indicating a positive outlook for the company's stock price.

Earnings Estimate Revisions: The Zacks rating system, which is based on earnings estimate revisions, shows a strong correlation with stock price movements, making it a valuable tool for investors.

Analyst Consensus: Over the past three months, the Zacks Consensus Estimate for Workhorse has risen by 36.5%, reflecting analysts' growing confidence in the company's future earnings potential.

Market Positioning: The upgrade places Workhorse in the top 20% of Zacks-covered stocks, suggesting it is well-positioned for potential market-beating returns in the near term.

Voting Reminder: Workhorse Group, Inc. is urging shareholders to vote in favor of its transaction with Motiv and other proposals ahead of the Annual Meeting scheduled for November 25, 2025.

Voting Process: Shareholders can vote online, attend the meeting virtually, or submit a proxy card, with the deadline for advance voting set for November 24, 2025, at 11:59 pm ET.

Importance of Quorum: Achieving quorum is crucial for the transaction to proceed; failure to secure enough votes may lead to a standalone path for Workhorse, potentially diminishing shareholder value.

Company Overview: Workhorse Group focuses on zero-emission commercial vehicles, designing and manufacturing them in the U.S. to cater to last-mile delivery and medium-duty operations.