Hedge Fund That Bet Early on Workhorse Surged 25% in June
- Formidable shorted Nikola to offset its Workhorse position
- Fund is long Allegiant Travel and short American Airlines
A Workhorse truck
Source: Workhorse Group Inc.This article is for subscribers only.
Formidable Asset Management LLC, which took an early position in electric-vehicle maker Workhorse Group Inc., rallied about 25% in June and beat the S&P 500, which was up about 2% in the same month.
The main contributor to the fund’s June performance was the position in Workhorse, according to a letter seen by Bloomberg. The fund revealed its stake on June 19, when the stock was around $5 per share. It surged 600% in the month of June. Since then, Workhorse has fallen about 25% so far in July.