Nikola (NASDAQ: NKLA), a maker of electric semi-trucks, went public by merging with a special purpose acquisition company (SPAC) in June 2020. Its shares opened at $37.55 and more than doubled to an all-time high of $79.73 a week later. But today, Nikola's stock trades at less than $1.

Nikola's investors fled as it broadly missed its own production estimates, its founder and former CEO, Trevor Milton, was convicted of securities and wire fraud in 2022, and it recalled nearly all of its vehicles in 2023. That same year, Nikola doubled its own share count to raise fresh cash through secondary share offerings and switched to its fourth CEO in as many years.

All of those problems are bright red flags, but could Nikola be a turnaround play for contrarian investors? Let's discuss the top reasons to sell, buy, or hold this volatile electric vehicle (EV) stock.

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Source Fool.com