H.C. Wainwright Reiterates Buy Rating on Worksport Ltd. (WKSP)

H.C. Wainwright analyst Scott Buck reiterated a Buy rating and $11.50 price target on Worksport Ltd. (NASDAQ: WKSP).

The analyst commented: "Prior to the market open on April 22, Worksport announced a series of favorable 1Q25 metrics, ahead of full 1Q25 results, which we expect early next month. The company ended March 2025 with 151 active dealers, up from 92 dealers at the end of 2024 and an increase of 35 new dealer accounts in March alone. The increase in active dealers is driving an acceleration in B2B sales, which increased approximately 70.0% sequentially in March from February. In addition, the company is seeing strong dealer demand for its AL4 tonneau cover, which was released earlier this year. Positive momentum in the business appears to be lost on many investors as WKSP shares have declined 71.1% in 2025 versus a more modest 15.2% decline in the Russell 2000. We believe underperformance in WKSP shares is partially driven by macro-economic and tariff related concerns. However, the company's tonneau cover products are built in the United States, with approximately 90.0% of materials used sourced within the United States. This suggests very little negative impact from potential tariffs. On the other hand, many competitor products are manufactured outside the United States suggesting Worksport could be a key beneficiary as dealers look for higher margin alternatives. When the company reports 1Q25 operating results in early May, we believe revenue should put the business on track to meet the company's full year revenue guidance of between $20.0M and $34.5M, up approximately 135.0% at the low end and more than 300.0% at the top end from 2024 levels. If the company can continue to execute against its ambitious 2025 operating guidance, we believe new investors should be attracted to WKSP shares. We remain Buy-rated with an $11.50 price target on WKSP shares."

For an analyst ratings summary and ratings history on Worksport Ltd. click here. For more ratings news on Worksport Ltd. click here.

Shares of Worksport Ltd. closed at $2.66 yesterday.

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