According to the Kelley Blue Book, Americans bought a record 1.2 million EVs in 2023 which is 7.6% of the total vehicles sold in the US. That’s up from 5.9% in 2022. Despite a recent decline in EV demand and rising interest rates, it looks like the future is electric and the demand will pick up soon. 

However, as the demand for EVs picks up, there will be a requirement for EV infrastructure and this is where we are running behind. There are a limited number of companies developing EV infrastructure and they could enjoy an early-mover advantage. 

The Biden administration has already announced $623 million to help expand the EV charging infrastructure in the U.S. and it has a target of installing 500,000 chargers by 2030. This move can give a boost to EV charging stocks and you could make significant gains as the EV sector improves.

Tesla (TSLA)

Tesla (NASDAQ:TSLA) is the biggest EV maker right now and it might be going through a low phase today but that is temporary. For a company like Tesla, there is a high chance of impressive profit margin growth in the coming years. The company had to resort to price cuts last year and it has seen a drop in margins in the recent quarter. However, it remains a leader due to its innovation and world-class cars. 

Tesla delivered more than 1.8 million vehicles in 2023, which is a strong upside from the 1.3 million deliveries in 2022. Besides being a strong EV maker, Tesla is also a top EV charging stock. The company has a strong charging network and it has opened this network for several automakers in the country. This will lead to steady revenue in the long term. 

The company has managed to convert an expense into a revenue-generating stream and while it is too soon to estimate the amount of revenue it will make, I am certain that the revenue from EV charging will benefit the company. Tesla faces competition in the EV charging segment but it remains one of the top charging infrastructure providers right now.

Tesla has more than 50,000 superchargers globally and they are much faster than the chargers from any other network. It also offers quicker charging as compared to the other chargers. Trading at $216 today, TSLA stock is up 67% in the past year but down 27% in the past six months. Now is the perfect chance to load up on the stock as it is one of the best EV charging stocks to own this year.

EVgo (EVgo)

An electric vehicle charging company, EVgo (NASDAQ:EVGO) has approximately 3,400 fast-charging stalls that operate with a direct current. While it is much smaller than Tesla, it is slowly expanding due to strong execution. Its financials are proof that the company is taking the right steps. It saw a 234% year-over-year rise in revenue in the third quarter and hit $35.1 million. 

EVgo also managed to reduce losses by cutting costs and this helped the net loss improve by 26% year over year. It expects to have about 3,400 to 3,700 DC stalls installed or under construction by the end of this year.

The one reason to be positive about this stock is its partnerships with Toyota (NYSE:TM) and Honda (NYSE:HMC). The company will provide its network access to Honda drivers and has recently added Toyota customers to its charging partnership.

Trading at $2.56 today, the stock looks extremely cheap to me and it can double in 2024. It has dropped 56% over the past year due to high-interest rates and slowing EV demand. However, as the economy improves and the demand for EV picks up, we could see the stock do much better. The stock looks ultra cheap to me at the current level.

Blink Charging (BLNK)

Blink (NASDAQ:BLNK) already has over 3,500 stations and in the third quarter, the company contracted or sold about 5,956 charging stations. Subsequently, it led to a rise in total revenue to hit $43.4 million, up 152% year over year. It also raised its 2023 revenue target. In November, Blink announced the launch of the next-generation EQ 200 chargers in Ireland and the United Kingdom.

While the third quarter was excellent for the company, it continues to expect better growth opportunities in the coming months as EV adoption increases. Blink saw an impressive 162% rise in product sales and a 119% rise in service revenues.

While the company isn’t profitable yet, it is targeting positive EBITDA by the end of this year. It has seen an improvement in the losses and went from $17.6 million in loss in the third quarter of 2022 to $11.7 million in the recent quarter. However, do not expect the stock to generate returns anytime in the near future. BLNK stock is trading for $2.30 today and is down 83% in the past year. Macroeconomic factors have led to a dip in the stock but with rate cuts, we could expect this sector to pick up and the stock could see an upward momentum.

On the date of publication, Vandita Jadeja did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.