Workhorse Group (WKHS) has disclosed a new risk, in the Debt & Financing category.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
Workhorse Group faces substantial business risk due to its inability to generate or secure additional capital, which is crucial for meeting current and future customer demands and expanding operations. The company’s persistent negative cash flow from operating activities, reported at $123.0 million and $93.8 million for 2023 and 2022 respectively, exacerbates this issue. Insufficient working capital could prevent the timely fulfillment of purchase orders, risking sales losses, customer attrition, and reputational damage, all of which could severely impact its business and financial condition. Without adequate financing, Workhorse Group may be forced to significantly reduce or cease operations, hindering its long-term strategic plans and ability to respond to market pressures.
Overall, Wall Street has a Hold consensus rating on WKHS stock based on 3 Holds.
To learn more about Workhorse Group’s risk factors, click here.
