Workhorse Group - AI Stock Analysis

Analysis generated July 11, 2025

Workhorse Group is an American technology company that specializes in the development and manufacturing of electric vehicles (EVs) aimed primarily at the delivery and commercial sectors. The company has carved a niche in developing and producing electrically powered trucks and delivery drones. Workhorse Group aims to offer sustainable, cost-effective alternatives to traditional delivery vehicles, leveraging advanced technology to innovate within the logistics industry.

Fundamental Analysis

The most recent financial data points provide a compelling look at Workhorse Group’s performance. Revenue for the last quarter came in at $1.9M, which is the same as the previous quarter, showing stability in the company's earnings. Compared with the same quarter last year, revenue has increased by 43.73%, indicating notable year-over-year growth. This is a strong signal of positive momentum in their core business.

Net income for the last quarter was $21M, again matching the net income from the prior quarter, showing financial steadiness. Importantly, this reflects a 27.36% increase from the same quarter last year, which underscores a year-over-year enhancement in profitability.

EBITDA for the last quarter stood at $12M. This marks a significant 36.72% increase compared to the prior quarter, suggesting strong operational growth. Compared to the same quarter last year, the EBITDA has increased by 43.88%, confirming a year-over-year upswing in operational efficiency.

However, the ongoing sale of stocks by company insiders in the recent months can be seen as a bearish signal, potentially indicating a lack of confidence from those within the company.

Technical Analysis

The current stock price of Workhorse Group stands at $3.80, reflecting a sharp increase of 268.93% compared to a month ago, which is a substantial short-term bullish signal. However, when looked at from a longer perspective, the stock has decreased by 82.33% compared to a year ago, which raises a concern for long-term investors.

The stock appears to be in an upward trend, as signaled by the SMA10 value at 2.12, which is higher than the previous SMA10 of 1.86. This upward moving average trend proposes continued momentum. The Relative Strength Index (RSI) is currently at 39.7, suggesting that the stock is in a neutral condition and neither oversold nor overbought.

Alternative Data Analysis

Several alternative data points provide additional insights into Workhorse Group's current situation. Employment data shows that the company has 5 open positions, up by 25% in the last couple of months, which implies a potential for growth and expansion. Nonetheless, employee sentiment reflects only 38% of positivity towards the business outlook, and this sentiment has dropped by 7% recently, indicating internal concerns.

On the customer acquisition front, Workhorse Group's website visits have decreased by 33% in the last couple of months, suggesting possible issues with customer retention or interest. The company also has no consistent changes in mobile app downloads, neither increasing nor decreasing, showing stagnancy.

Customer engagement metrics from social media further reflect worrisome trends; both Instagram and Twitter followers have decreased by about 1% each in the past couple of months. Also notable, AltIndex’s AI score for Workhorse Group stands at 30, marking a strong sell recommendation based on a comprehensive analysis of fundamental, technical, and alternative data.

Conclusion

Workhorse Group showcases a mix of promising and concerning indicators. The positive year-over-year growth in revenue, net income, and EBITDA reflect robust underlying business performance. The short-term bullish trend backed by the sharp rise in stock price and the upward-moving averages could signal a good opportunity for traders focusing on short-term gains.

However, longer-term concerns remain due to the overall annual decline in stock price, insider stock selling activity, and waning customer interest and employee sentiment. The drop in website visitors and social media followers further adds to these concerns, suggesting potential customer retention issues.

Considering these factors, potential investors may want to exercise caution and consider these mixed indicators carefully. The AI score of 30 suggests a strong sell recommendation, emphasizing the need for a balanced and thorough evaluation before making any investment decisions.

Disclaimer: This AI stock analysis, generated by an experimental AI tool, is for informational purposes only and not financial advice. Information is based on publicly available data and may not always be accurate or current.