If the electric vehicle (EV) boom is going to get off the ground, we need far more EV charging stations. In fact, as I noted on Feb. 12, “The U.S. has just under 130,000 publicly available charging ports at 50,401 charging stations, according to BlinkCharging.com. Yet, when we approach the U.S. goal of half of all auto sales being electric, we’ll need 1.2 million public, and 28 million private EV charging stations, or about 20 times more than we have now.” All of which should force EV charging stocks higher, too.
Two, according to a new report from Consumer Reports, “Only about 1 percent of the 270,000 retail locations controlled by the 75 retail and fast-food companies we reviewed offer any EV charging,” as highlighted by CleanTechnica.com. They also argue that if more people saw EV chargers at places they shop, it could be a factor in future EV adoption.
Three, the Biden Administration just sketched out plans for EV charging along major U.S. freight corridors. That’s on top of the $623 million the Administration provided to build out an EV charging network back in January. That will fund about 47 EV charging stations and will also include about 7,500 EV charging ports.
All should fuel massive growth in EV charging stocks over time.
EVgo (EVGO)
One of the EV charging stocks to buy and hold is EVgo. (NASDAQ:EVGO).
Since 2022, the stock has been stuck in a solid downtrend. However, with solid catalysts ahead of it and other EV charging stocks, that could change. One thing I’m waiting for is a break above EVGO’s descending channel around $3.36 a share. You can see the channel by connecting all of the lower highs and then all of the lower lows.
Two, RBC Capital analysts just upgraded EVGO to outperform, with a $4 price target. “The automotive industry is moving towards electrification, and we believe EVgo is well positioned to benefit from this secular trend,” said the firm, as quoted by Seeking Alpha.The firm added that investors should be assured by EVgo’s expectation to be EBITDA positive in 2025,
Three, earnings have been solid. The company posted sales of $50 million, as compared to the $27.3 million posted a year earlier. For full-year 2023, revenue jumped to $161 million from $54.6 million year over year, an increase of 195%.
Blink Charging (BLNK)
After finding triple-bottom support dating back to late 2023, Blink Charging (NASDAQ:BLNK) rallied to about $3.50 per share. It’s now consolidating in a tight channel between $2.92 and $3.50 per share. And until it can break above that resistance or support point, it could continue to consolidate.
Most recently, the company posted a fourth-quarter loss of 28 cents, which missed estimates by about two cents.
However, revenue of $42.71 million — up nearly 89% year over year — beat by $8.65 million. It also strengthened its balance sheet, and improved liquidity by raising $113 million in gross proceeds. And for the full year, BLNK is still targeting $165 million to $175 million in revenues. It also still expects to see positive EBITDA by December as well.
Also, as noted by President and CEO Brendan Jones, “2023 was a historic year for Blink marked by significant achievements and remarkable growth. Total revenue grew 130% compared to 2022 and represents a 671% increase over 2021. We have developed and continue to expand a diverse and robust product portfolio, which continues to attract prominent clients such as the United States Postal Service and Mack Trucks, illustrating the appeal of our charging solutions for fleet applications.”
Beam Global (BEEM)
There’s also Beam Global (NASDAQ:BEEM), which has been consolidating around $7 a share. From here, if BEEM can break above resistance at around $7.35, it could see $10 again soon.
Helping, BEEM recently announced a $4.8 million deal with Homeland Security, and a $7.4 million deal with the U.S. Army. It was even awarded city contracts with San Diego and Los Angeles. In addition, BEEM acquired Serbian streetlight company Amiga, which will allow it to expand throughout Europe.
Better, BEEM just announced it received a $1 million order from the UK Ministry of Defense for 10 EV ARC sustainable electric vehicle charging systems.
“We closed the acquisition that created Beam Europe in Q4 of 2023, and in Q1 of 2024 have been named a supplier to the UK government and have already received our first million-dollar order from the British military. These EV ARC systems are the first to be deployed from the Beam Europe factory,” added Beam Global CEO Desmond Wheatley.
On the date of publication, Ian Cooper did not have (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
