![]() These are obviously prominent threats facing this business. And with no profits currently being generated, management is dependent on external financing to fuel its expansion. But even if the EV adoption rate climbs as expected, the group is not the only player in the space, with plenty of competition to contend with. If that fails, the company may not be able to generate meaningful revenue growth. Risks lying aheadĬhargePoint Holding’s business is mainly dependent on the ability of EVs to penetrate the market on a large scale. But there are, of course, risks to consider. That certainly sounds like quite a strong tailwind to benefit from. Also, by 2025, 9.9% of new vehicles sold are expected to be EVs, while 29.2% should be EVs in the US and Europe by 2030.Ĭonsidering the above, the ChargePoint Stock could soar as EV adoption increases. According to BloombergNEF Vehicle outlook in 2020, the EV charging infrastructure investment is expected to reach $60bn by 2030 and $192bn by 2040. Today, on average, someone uses ChargePoint ports every 2 seconds. Since then, ChargePoint stock has been within the range of $9.38 and $49.48 per share. Should I add the ChargePoint stock to my portfolio?ĬhargePoint went public in March 2021 after completing a SPAC merger with Switchback Energy Acquisition Corporation. As of 31 January 2022, there were over 174,000 ChargePoint ports – about 51,000 of which are in Europe. Its operations are dominant in North America, but it has begun gradually penetrating the European market. By opening one ChargePoint account, a customer is given access to hundreds of thousands of places to charge their EV. The company generates its revenue through its Networked Charging Systems, subscription services and other services. It owns one of the largest EV charging networks and provides a comprehensive portfolio of charging solutions. It is here that ChargePoint comes into the picture.Ĭhargepoint is in the business of creating a fueling network to move people and goods on electricity. For EVs to function well, a system of charging has to exist. In light of the above, there has been a massive adoption of electric vehicles (EVs). And deadlines have been set to reach net-zero emission by 2050. Burning fossil fuels for electricity, heat, and transportation is among the highest emitters of greenhouse gases. In the world’s drive towards a more climate-friendly environment, individuals, businesses, organizations, and governments have consciously made an effort to reduce the emission of greenhouse gases into the atmosphere. ![]() Will this momentum continue, and should I add the ChargePoint shares to my portfolio? On the other hand, the share price is up over 33% in the past month as it has gained some positive momentum. ChargePoint stock is down nearly 30% in the past year.ĬhargePoint (NYSE:CHPT) stock is down nearly 30% in the last twelve months.The EV charging infrastructure investment is expected to reach $192bn by 2040.There are over 174,000 ChargePoint ports in the US and Europe.
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