Should Investors Be Buying These Top EV Charging Stocks Now?
In the world of energy production, sustainability is looking to be the name of the game now. For investors looking to bet on this, electric vehicle (EV) charging stocks are an option in the stock market now. Now, as the name suggests, the EV charging industry is closely linked to the EV market. If anything, EV charging points could eventually be the gas stations of the future. Some may consider them to be infrastructure stocks now, especially with President Joe Biden’s latest infrastructure bill.
Through this bill, President Biden is planning to invest $7.5 billion towards building and maintaining public EV infrastructure. According to the White House, this marks the “largest investment in EV infrastructure in history”. This is but an initial step towards the President’s goal of building 500,000 EV chargers across the nation over the next few years. Because of all this, I can understand if many see EV charging stocks as hot stocks right now.
Evidently, investors and organizations alike already see the opportunity in the market. Just this week, news of two upcoming EV charging names going public is hitting investors’ radars. On one hand, FreeWire Technologies is reportedly in talks to go public by merging with DHC Acquisition Corp (NASDAQ: DHCA). According to a Bloomberg interview source, the newly formed organization could be worth over $1 billion. Meanwhile, EVgo will be going public via a shareholder-approved business combination with the Climate Change Crisis Real Impact I Acquisition Corporation (NYSE: CLII). The newly formed company is set to trade under the “EVGO” symbol on the Nasdaq starting July 2 this week. Overall, as the U.S. seeks to catch up to China and Europe in the global EV race, the industry continues to expand. On that note, here are three upcoming names to know now.
Best EV Charging Stocks To Buy [Or Sell] Now
- Blink Charging Company (NASDAQ: BLNK)
- ChargePoint Holdings Inc. (NYSE: CHPT)
- Tortoise Acquisition II Corporation (NYSE: SNPR)
For starters, we have the Blink Charging Company. In brief, it is a leading owner, operator, and provider of EV charging equipment. The likes of which Blink manages via its Blink Network, a proprietary cloud-based software platform. Through this network, the company can track all of its charging stations and the associated charging data. For a sense of scale, Blink currently runs thousands of EV chargers throughout the U.S. These chargers are strategically situated across transit locations such as airports, hotels, universities, restaurants, and workplaces among others. More importantly, BLNK stock is currently looking at gains of over 16% in the past month. Could it have more room to run moving forward?
If anything, the company is actively expanding its impressive charging network. As of mid-June, the company deployed more of its IQ 200 Level 2 EV charging stations across New Jersey. In detail, the new charging stations are now present at three locations of the AtlantiCare Integrated Healthcare System. This could ideally expand Blink’s market reach in the region. With this new collaboration, the duo is looking at a 5-year agreement with two possible 5-year extensions.
On the financial front, Blink also started the year on the right foot. In its latest quarter fiscal posted in May, the company reported solid year-over-year surges of 71% in total revenue and 14,457% in cash on hand. CEO Michael Farkas expressed optimism about Blink’s future and its role in the worldwide EV charging infrastructure industry. Could all this make BLNK stock worth investing in for you now?
ChargePoint Holdings Inc.
Another upcoming name in the EV charging industry now would be ChargePoint Holdings Inc. For some context, the California-based company operates one of the largest online networks of independently owned EV charging stations globally. Impressively, the company’s portfolio consists of hundreds of thousands of charging stations across 14 countries. In the North American and European regions alone, ChargePoint operates over 112,000 charge points. Moreover, the company primarily manages its extensive network through a cloud subscription software-driven platform. All this would make for a seamless means of updating and optimizing its stations globally.
Given the relative size advantage of ChargePoint’s operations compared to its competitors, investors could be eyeing CHPT stock now. In fact, the company’s shares are currently sitting on gains of over 240% in the past year already. Regardless, ChargePoint does not seem to be slowing down anytime soon. As of June 17, the company is currently working with Mercedes-Benz USA. For the most part, this collaboration will see the implementation of new software into upcoming Mercedes EVs. The “Mercedes me Charge” service will allow future Mercedes EV owners to access ChargePoint’s North American network of charging stations.
Overall, ChargePoint senior VP Bill Loewenthal had this to say, “Mercedes is redefining the automobile once again, delivering a superior driving experience that includes seamless charging. ChargePoint will continue to power experiences that make the transition to electric mobility easy.” On top of all that, ChargePoint also posted stellar figures in its latest quarter fiscal last month. This is evident as it reported massive year-over-year increases of 373% in net income and 66% in earnings per share. With the company expanding its global EV charging portfolio aggressively, would you consider CHPT stock a top buy?
Tortoise Acquisition II Corporation
Topping off our list today is the Tortoise Acquisition II Corporation (SNPR). Now, the company is currently working towards closing its merger with EV infrastructure company, Volta Charging Inc. The combined entity will be named Volta Inc. and trade on the New York Stock Exchange under the ticker “VLTA”. Simply put, Volta identifies as a commerce-centric EV charging network operator. In other words, the company’s game plan is to capitalize on EV trends by placing charging stations at consumer-heavy locations. This would include locations where consumers live, work, shop, and play.
Ahead of the current merger, investors may want to watch SNPR stock now. This would be the case as Volta seems to be kicking into high gear ahead of its going public. Just yesterday, the company announced a new collaboration with Hackensack Meridian Health, New Jersey’s largest and most comprehensive health network. Through this partnership, Volta is set to install 21 stations across three of Hackensack’s major medical centers. Following this initial phase of deployments, Volta will also deploy additional stations across the network in the long term. This move could serve to grow Volta’s addressable market significantly.
Not to mention, one stand-out feature of the company’s wares would be its media-enabled charging stations. In short, Volta’s charging stations boast eye-catching digital displays. These displays can provide content viewing experiences for users and passing consumers alike. This would provide Volta with another stream of revenue via advertisements. Earlier this week, the company announced a team-up with Bloomberg Media, featuring its Bloomberg Green climate-focused content. With Volta seemingly firing on all cylinders, will you be adding SNPR stock to your portfolio now?
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.