General Motors (NYSE:GM) wants to simplify the electric vehicle charging experience and its plan has EV charging stocks jumping on Thursday morning. Shares of ChargePoint (NYSE:CHPT) lead the pack, extending gains from yesterday’s 4.69% increase in CHPT stock.
In case you missed it, GM in February announced plans to end production of all diesel and gasoline-powered cars, trucks, and SUVs by 2035 — meaning all GM cars produced 2035 and after will be electric.
In the latest development, GM’s Ultium Charge 360 project will work with seven charging networks — including Blink Charging (NASDAQ:BLNK), EVgo and ChargePoint — to give drivers “more seamless access” to almost 60,000 plugs across the U.S. and Canada. According to Engadget, this move will help simplify charging.
EVgo is slated to come public in a SPAC merger with Climate Change Crisis Real Impact I Acquisition Corporation (NYSE:CLII). The other charging firms are the privately held EV Connect, FLO, Greenlots and SemaConnect.
EV Charging Stocks: CHPT Gets Double Jolt on Android Addition
For CHPT stock investors, the GM news only got better this morning following reports that the operator of one of the largest EV charging networks across Europe and North America is adding support for Android Auto to its app.
That functionality will enable Android phone users to find, get to and begin charging at a ChargePoint station directly from their car’s infotainment screen, without needing to pick up their phone.
Given the recent electric vehicle boom, enthusiasm for EV charging stocks makes sense. One way of looking at these venues is that they are next-generation gas stations and that infrastructure is essential to weaning drivers off internal combustion engines (ICEs).
In plain English, charging station equities are derivative plays on the EV boom, and that’s just fine because market history is loaded with examples of derivative companies benefiting from seismic trends. Think makers of components for smartphones or the real estate companies that own data centers as just two modern examples.
On the date of publication, Robert Lakin did not have (either directly or indirectly) any positions in the securities mentioned in this article.
InvestorPlace contributor Robert Lakin is a veteran financial writer and editor, including previous stints with Bloomberg News, McKinsey & Co. and McDonald & Company Investments.