That means Workhorse vans have the advantage of lower maintenance costs, much lower fuel cost, zero emissions and no noise. Workhorse Group is the only contender offering a pure, battery-powered electric solution. One offers a plug-in hybrid, and the other a traditional gas-powered van. Postal duty - last mile delivery - is exactly what Workhorse Group’s electric delivery vans are designed for.Īt this point, several bidders for the contract have dropped out, and Workhorse is one of the three remaining finalists. It needs 140,000 new vans, and that contract is worth up to $6 billion. The postal service is replacing its aging fleet of gas-powered delivery vehicles. But the real catalyst for Workhorse has been the USPS. Being added to the Russell 3000 Index certainly helped, as did landing $70 million in institutional funding. The overall halo effect of investor enthusiasm for electric car stocks contributed to the big gains. At this point, it’s trading above $26 and at time of writing, its gains for 2020 were nearly 765%. While there was a short drop-off in the first few weeks of July, WKHS resumed climbing. By the end of June, WKHS stock had surpassed its all-time record highs. Workhorse stock spent the first half of 2020 plodding along around $3, then suddenly shot up starting in June. While hydrogen fuel cell technology may begin to make inroads in the consumer market and eventually displace battery tech, it’s a smaller threat when it comes to Workhorse’s target market. Delivery vans aren’t driving hundreds of miles between cities, and they can be plugged in and fully recharged overnight. The Workhorse C650 and C1000 vans are “ built specifically for last mile delivery.” A lower range and longer refuelling time don’t present the same sort of challenges for this application. However, Workhorse is focused on delivery fleets. Workhorse Group produces battery-powered electric vehicles. The most hyped new electric pickup truck of 2020 actually offers a hydrogen fuel cell option that dramatically improves its driving range. They have significantly longer range, and a refill takes five minutes instead of an hour plus. Many consider battery-powered electric cars a stopgap solution, with hydrogen fuel cell-powered electric cars the real endgame for the future. Charging takes too long and range is limited. The second is the nagging feeling that battery-powered electric cars may not be the end game. The first is that shares in these companies are becoming expensive. There are even electric pickup trucks set to arrive in showrooms shortly.įor investors who want to get in on this boom, there are two issues. Gas-powered cars aren’t going anywhere any time soon, but electric cars are finally going mainstream. Workhorse and the Electric Delivery Vehicle RaceĮveryone knows the story of electric cars and the sudden acceleration in popularity that’s driving the stocks of electric car makers through the roof. Postal Service - to the tune of $6 billion - WKHS stock may just be getting started. In the running for a huge contract to supply electric delivery vehicles to the U.S.

Workhorse usps truck