With electric vehicle sales accelerating, the demand for EV charging stations is in overdrive, creating substantial opportunities for EV charging stocks.
Look at EVgo (NASDAQ:EVGO), for example.
Over the last few weeks, the stock rallied from about $2 to a high of $4.25. All thanks to a Benchmark upgrade, the potential for interest rate cuts, and strong earnings. In fact, in its most recent quarter, the company just posted an earnings per share loss of 10 cents, which still beat by two cents. Revenue of $66.6 million, up nearly 32% beat by $7.24 million.
Even better, it expects to be EBITDA breakeven by 2025 and believes it can achieve substantial EBITDA growth for years to come.
However, it’s not just EVGO that’s got us excited. With the growing demand for EV charging, here are three other EV charging stocks you may want to buy and hold today.
Beam Global (BEEM)
Look at Beam Global (NASDAQ:BEEM), for example.
After running from about $4 to a high of $7.75, it’s now back to $5.23 and oversold. In fact, of all of the EV charging stocks we’ll discuss today, BEEM is the most attractive, technically. Not only did it just catch strong support at $5, but it’s just starting to pivot from over-extensions on RSI, MACD, and Williams’ %R. From its last traded price of $5.23, I’d like to see it test $6.50.
Helping, the company just announced record second quarter new orders of $10.6 million, which is 128% year-over-year growth. Plus, it’s still expanding in Europe with its recently shipped EV ARC systems in Cyprus for the UK Ministry of Defense.
Plus, earnings came out ok. While revenue of $14.6 million, up 12.1% year over year, missed by $4.71 million, its EPS loss of 21 cents did beat by four cents. BEEM is also debt-free with about $5 million of cash on hand at the end of March.
Blink Charging (BLNK)
Blink Charging (NASDAQ:BLNK) weakness is also worth buying into.
For one, BLNK is sitting at strong support, which has held up well since Nov. 2023. Plus, it’s also over-extended on RSI, MACD, and Williams’ %R and could soon retest $3.50 from its last traded price of $2.52. Two, it appears to have priced in recent earnings negativity.
In its most recent quarter, the company posted an EPS loss of 18 cents, which missed by five cents. Also, revenue of $33.26 million, while up 1.4% year over year missed by $5.71 million. Guidance wasn’t so hot either with BLNK now targeting revenues of $145 million to $155 million, as compared to estimates of $168.85 million.
However, according to the company, it “significantly reduced our operating expenses by 41% compared to the second quarter of 2023 as we continue to drive efficiencies, scale our business, and focus on reaching sustained positive adjusted EBITDA profitability.”
Again, use the recent BLNK weakness as a buying opportunity.
Direxion Daily Electric and Autonomous Vehicle Bull 2x Shares (EVAV)
Or, if you want to diversify with top EV names at a low cost, consider the Direxion Daily Electric and Autonomous Vehicle Bull 2x Shares (NYSEARCA:EVAV).
With an expense ratio of about 1%, the EVAV ETF seeks returns of about 200% of the performance of the Indxx US Electric and Autonomous Vehicles Index.
It’s also investing in electric vehicle and autonomous vehicle stocks that derive at least 50% of their revenues from related activities. That includes companies creating technology for electric or autonomous vehicles, such as charging docks and batteries, as noted by Direxion.com.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
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.
