ChargePoint Holdings (NYSE:CHPT) is back in the green today on important news. After a volatile month, the electric vehicle (EV) charging company has reported a key catalyst that could revolutionize EV infrastructure. Its new “Omni Port” device is exactly what it sounds like. Essentially, it combines “multiple charging plugs into one single port,” ensuring that almost any EV driver will be able to charge their vehicle at any ChargePoint charging space.
CHPT stock has been rising steadily all day, making it clear that the market is reacting well to news of this development. ChargePoint may be on the verge of a much needed turnaround as economic conditions continue to shift in its favor.
What’s Happening with CHPT Stock
As of this writing, CHPT stock is up 10% today and looks primed to keep rising. As shares have declined 80% over the past year, it makes sense that many investors have soured on the struggling stock. However, the need for EV infrastructure isn’t going away.
Vehicle charging remains a pivotal problem facing EV adoption. ChargePoint has been working for years to address this issue. Its network is vast, spanning both the U.S. and Europe with over 1 million EV charging plugs. Now the company is making the process of charging your EV even easier with the new omni port. As Electrek reports:
“ChargePoint states that its new technology debuts as the first commercially available solution for universal EV charging, helping slay plug confusion that currently trudges the process. EV drivers on the network will simply need to enter their vehicle’s make and model into the ChargePoint app and then initiate their charging session. From there, the Omni Port-equipped station will automatically deploy the correct connector type and start juicing the vehicle up.”
This could be a major step forward in terms of convincing more drivers to make the switch to an EV. Parts of the U.S., especially rural areas, offer few options for EV charging. Giving drivers fewer complications when it comes to powering up their vehicles is exactly the type of development that could help CHPT stock start to turn around for good.
Why It Matters
As a penny stock trading at less than $2 per share, ChargePoint has a long way to go before it reaches previous levels. But this kind of innovation could help push CHPT stock back to the $5 mark and beyond. The EV market has rebounded after its downturn in early 2024, and the number of electric vehicles on the road will continue driving demand for ways to charge them. ChargePoint is about to be the first company to market an effective omni port that simplifies EV charging for drivers across the country.
Further, InvestorPlace contributor Joel Lim notes that “Analysts remain bullish on CHPT stock, forecasting that it could gain by an average of 30.6% in the coming 12 months. The analysts specifically forecast that in fiscal 2027, ChargePoint will have achieved positive earnings per share.”
All this is setting the stage for a lasting ChargePoint rebound in the second half of 2024 that could end up taking it to new heights. These key innovations show that CHPT stock is a name to watch as the company gears up for a comeback.
On the date of publication, Samuel O’Brient did not have (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.
On the date of publication, the responsible editor did not have (either directly or indirectly) any positions in the securities mentioned in this article.
