Those of you who believe Electric vehicles are the future. Well, EV production is increasing every passing quarter. To run EVs you need charging stations. EV charging companies are increasing their infrastructure in the U.S. and in coming years it’ll spread over different countries. This boom has created an exciting time for investors looking to seek out EV charging stocks.
The electrification of transportation, which is about 20% of U.S. greenhouse gas emissions, is one of the solutions to climate change. Yet EVs are still only about 3% of cars sold on the U.S. Road trip. Potential EV drivers worry that they won’t be able to charge the car while on an extended trip.
Congress has recognized this problem and passed the Infrastructure Bill, allocating $7.5 billion to EV charging stations. And Biden has called for building 500,000 charging stations across the country. What that means for EV charging companies is a great opportunity for growth.
EVgo (EVGO) owns and operates a direct current fast-charging network for battery electric vehicles in the United States. In our last video of EV charging stocks, EVGO was trading at its 52-week highs and now it has dropped half of its share price. So, are we still going for the stock to buy in the EV charging space?
EVgo is one of the most developing companies in the EV charging market. EVGO stock has dropped to its 52-week lows, which gives the stock a huge upside. Let’s see how does EVgo positions itself to become a developing power in the sector.
EVgo’s operations in the quarter demonstrated further progress toward an electrified transportation future. More drivers are using DC fast charging services, generating the highest network throughput EVgo has ever delivered to its EV-driving customer base.
The growth has helped the company accumulate 29% more revenue in the third quarter. While the network output rose to an all-time high of 8.0 Gigawatt-hours. That’s a 31% increase over the previous quarter.
EVGO stock looks good and it’ll be a great investment if you hold the stock for a longer time.
Beam Global (BEEM)
Beam Global (BEEM) is a cleantech company that is involved in renewably energized products for electric vehicle charging infrastructure. The company lives at the intersection of solar power and EV charging. Beam’s main product is the EV autonomous renewable charger, the EV ARC.
The main thing that differentiates and supports the concept of renewable energy is Beam’s stand-alone solar-powered charging station. The EV ARC can fit into standard parking spaces and accommodate most EV models. The charger can be deployed within a few minutes of delivery and operates off the grid for increased flexibility.
A key advantage of Beam’s EV ARC is its fast installation. The company’s customer list includes more than two dozen government agencies and municipalities in California. In recent months, the company has also announced new deployments in Charlotte, North Carolina; San Jose, California; and New York City.
Beam’s most recent quarterly report showed strength on several metrics. The revenue soared over 63% year over year to $2.02 million. Looking ahead, the company reported a work backlog of $7.1 million, its highest ever and an important indicator of future revenues. Moreover, Beam has expanded its sales pipeline, growing from $50 million to $75 million.
BEEM could be a stock that could make you many buys in the coming years in the EV charging stocks sector.
Volta (VLTA) is an interesting play on EV charging stocks because of its business model. The company operates a network of smart media-enabled charging stations for EVs in the U.S. As of June 30, 2021, VLTA had 1,900 chargers across 26 territories and states.
Volta is growing fast. In the recent quarterly update, the company mentioned its partnership with Six Flags Entertainment Corporation. Six Flags is the world’s largest regional theme park company. VLTA now plans to spread its charging network at parks across the U.S. serving hundreds of millions of guests.
Apart from EV charging networks, Volta also sells the advertising time on the stations’ digital ad screens. That is the lion’s share of Volta’s business. Sales during the last quarter were $8.5 billion, with the company’s ad revenue accounting for $7.36 billion of the total sales.
Whereas, YoY revenue was up 77% in the third quarter of 2021. With the White House’s plans to create its huge national network of EV charging stations, VLTA stock has a huge opportunity in the coming years.
VLTA stock is trading at its 52-week lows, so shares are heavily discounted right now.
Wallbox (WBX) is known for creating EV charging and energy management systems. The company makes EV chargers for homes, businesses, and cities. So far, as per the reports, the company has sold over 100,000 units, including 66,000 during the first nine months of 2021.
Wallbox has partnered with a residential solar company, SunPower, to integrate its E V chargers with solar panels. As the expected first choice EV charger provider for SunPower’s 370,000 customers, WallBox could see growth pick up.
Recently, the company announced its expansion into Canada. Wallbox will integrate its charging network in North America via its global best-selling charger, Pulsar Plus. Pulsar Plus is the number one best-selling charger on Amazon. Wallbox has begun selling chargers to all provinces in Canada through Amazon and B2B sales channels.
WallBox has obtained strong outcomes due to growing demand and consumer preference for its products. The way WBX’s managed the global supply chain issues has enabled the company to sustain strong momentum.
WBX stock is surely a decent pick in the EV charging stocks sector.
ChargePoint Holdings (CHPT)
ChargePoint Holdings (CHPT) is one of investors’ favorite EV charging stocks. The company provides EV charging services to residential, fleet, and commercial customers. Why makes ChargePoint a go-to stock in the sector?
Back in 2017, the company acquired nearly 10,000 charging stations from GE, which exited the charging business. Today, CHPT has over 163,000 places to charge in North America and Europe. With 7x the market share of its closest competitors, ChargePoint has its charm in the market.
CHPT stock has plunged significantly since our last video that featured in Nov 2021. That’s mainly due to investors’ speculation in the short run. We believe the company is well-positioned in the market and has the upthrust to push the stock in the future.
Looking at the quarterly outcomes, the company has been delivering strong results. ChargePoint reported 79% year-over-year revenue growth in its recently reported quarter. That allowed it to raise revenue guidance for the second time in six months for its full fiscal year. That’s a good indication for the stock in the long run. However, investors focused more on the bottom line, which showed a growing net loss for the period.
Keep your eyes on CHPT stock, it’s worth investing in the EV charging stocks.