Nikola's stock-price target cut in half at Wedbush as the firm questions the electric automaker's ability to hit its ambitious forecasts

• Wedbush reiterated its Nikola "neutral" rating and lowered its price target to $13 from $25.
• The analysts question whether Nikola can hit its forecasts in a timely manner.
• Shares of Nikola slipped 6.1% Monday morning to $10.31.

Wedbush cut its Nikola price target in half Monday morning as its analysts questioned the electric automaker's ability to follow through on its ambitious forecasts in a timely manner.

"Overall we still believe the company's EV and hydrogen fuel cell ambitions are hittable in the semi- truck market, although we still have clear concerns that the execution and timing of these ambitious goals stay on track over the coming years,"a team of analysts led by Dan Ives said.

The firm cut its target from $25 to $13. Shares of Nikola fell as much as 6.1% Monday morning to $10.31. The electric automaker is down nearly 31% year-to-date.

The analysts noted that one of the major drivers of Nikola's stock price has been expectations that its investing into a hydrogen- powered battery. This type of battery and electricity is believed to be much more beneficial than the traditional battery electric motors in current electric vehicles use. Nikola currently has prototype trucks in Germany completed and its Arizona flagship factory build-out is right on schedule, so the automaker seems to be moving in the right direction to build out the battery, Wedbush said.

Right now though, Nikola is pre-revenue and needs to build up Wall Street credibility slowly, the analysts added.

"In a nutshell, NKLA is a "prove me" story looking ahead and the company laying out a tight and step by step roadmap that investors can clearly judge success/failure will be the key to success between now and 2023 in our opinion with the Street's skeptical view awaiting the next steps," said Wedbush.

Nikola has fallen nearly 89% since it went public last June and hit a whopping $93.99 a share. Last week, CFRA Research lowered their price target to $8 for Nikola and reiterated their "sell" rating due to "daunting operational headwinds" and consistent insider sales.