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ChargePoint Stock Plunges 22% Post Earnings as Economic Constraints Hamper Growth

ChargePoint, Constraints, Earnings, Economic, Growth, Hamper, Plunges, Post, Stock

Shares of electric-vehicle charging-equipment maker ChargePoint drop after disappointing earnings

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Disappointing Quarterly Earnings

  • ChargePoint reported a per-share loss of 24 cents from $150.5 million in sales
  • A year ago, ChargePoint reported a loss of 19 cents a share on sales of $108.3 million

Guidance Below Wall Street Expectations

  • ChargePoint expects third-quarter sales to be between $150 million and $165 million (Wall Street projects $178 million)
  • For the full year, the company expects sales to be between $605 million and $630 million (Wall Street projects $667 million)

Analysts’ Opinions

  • “While we expected near-term headwinds…ChargePoint’s [guides] were below our revised expectations,” wrote J.P. Morgan analyst Bill Peterson
  • Stephen Gengaro, analyst at Stifel, rates the shares a Buy and maintained his price target at $17

Positive Outlook

  • Management plans to generate positive adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) by Q4 2024
  • As of July 31, the company has $263.9 million in cash on the books

Stock Performance

ChargePoint stock has fallen about 26% since January 1 and 56% over the past 12 months

Source: Barron’s

For inquiries, contact Al Root at [email protected]

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