ChargePoint Holdings reported better-than-expected Q1 results with a loss of 17 cents per share, beating estimates by 5.56%, and sales of $107 million, surpassing expectations by 1.14%. Despite a 34% drop in networked charging systems revenue, subscription revenue increased by 27%. The company anticipates Q2 revenue between $108 million and $118 million and aims for positive non-GAAP Adjusted EBITDA by Q4 FY2025.
ChargePoint, a leading provider of networked solutions for charging electric vehicles (EVs), reported a 12% decrease in revenue for the third quarter of fiscal year 2024, along with negative gross margins. The company cited challenging macroeconomic conditions and execution challenges as reasons for falling short of expectations. However, ChargePoint remains committed to achieving positive non-GAAP Adjusted EBITDA in the fourth quarter of calendar year 2024 and emphasized its focus on empowering the EV ecosystem.
Stocks like Micron, Boeing, Acelyrin, PDD, ChargePoint, and Affirm are among the top movers in the stock market today, as Federal Reserve Gov. Christopher Waller's comments about slowing economic momentum contribute to optimism that the U.S. central bank has finished raising interest rates.
ChargePoint Holdings' stock plummeted by nearly 38% to a record low after the electric vehicle charging network reduced its third-quarter revenue forecast due to weak demand caused by delays in electric vehicle deliveries. The company also announced the replacement of its CEO and CFO. Multiple analysts have slashed their price targets and downgraded their ratings on ChargePoint's stock, reflecting concerns about the near-term outlook for the company and the broader EV charging industry.
Mercedes-Benz has opened its first EV fast-charging hub in Atlanta, Georgia, featuring 400kW charging speeds and a comfortable waiting area. The hub, part of a larger plan to install 2,000 hubs worldwide, is open to all EVs, not just Mercedes vehicles. MN8 Energy, a subsidiary of Goldman Sachs Asset Management, will cover 50% of the cost. The charging hub includes advanced features such as the ability to charge two EVs from one stall at high speeds and "Plug and Charge" capabilities. Legacy automakers are increasingly investing in charging infrastructure to support the growing adoption of electric vehicles.
Shares of hydrogen fuel cell maker Plug Power surged by 11.5% while charging network company ChargePoint Holdings and specialty EV maker Canoo plummeted by 17% and 19% respectively. ChargePoint's stock dropped after announcing a capital raise, which contradicted its previous statements about reaching profitability. In contrast, Plug Power announced new supply contracts and raised its sales outlook, boosting investor confidence. However, investors should approach these stocks with caution as they remain speculative and subject to volatility.
ChargePoint Holdings, an EV charging network operator, announced that it is raising $232 million through stock sales, causing its shares to fall by 8%. The company stated that a group of institutional investors will purchase $175 million in newly issued stock, while an additional $57 million has been raised through its existing stock offering facility. The funds, along with a recently secured credit line, will support ChargePoint until early 2025. The company also revealed changes to a prior $300 million convertible notes deal, extending the repayment deadline but increasing interest payments. ChargePoint's shares have declined by 53% since the start of 2023, closing at $4.49 on Tuesday.
Levi Strauss stock rises after receiving an outperform rating from TD Cowen, who believes the company is in the early stages of a favorable denim cycle. Costco's fiscal fourth-quarter results beat expectations, but the stock fell over 1% due to weak U.S. comparable sales growth. ChargePoint's stock jumps after UBS initiates coverage with a buy rating, citing an attractive risk-reward profile. XPO stock climbs following an upgrade to outperform from Evercore ISI, with analysts predicting greater margin expansion and pricing power. Mattel shares gain after Morgan Stanley initiates coverage with an overweight rating, considering it a top pick despite a challenging macroeconomic environment.
ChargePoint's stock has experienced a significant drop after the company reported its earnings, with the economy being cited as a factor constraining its growth.
Shares of EV charging equipment maker ChargePoint are falling after the company reported disappointing quarterly earnings, citing slower sales growth due to the current state of the economy.
ChargePoint, a leading EV charging provider, has announced the availability of Tesla's North American Charging Standard (NACS) connectors at its charging stations. The company will add the Tesla NACS connector to its existing charging stalls alongside other connector solutions. ChargePoint's modular charging platforms and new NACS connector options aim to ensure that any EV can charge in any parking space. The integration of Tesla NACS connectors will benefit customers once NACS-equipped EVs enter the U.S. market in 2025.
ChargePoint will start supporting NACS, the standard designed by Tesla, by making available NACS connector options for new orders and for customers that have installed CP6000, CPE 250 or Express Plus offerings. The move enables customers to serve the charging needs of any EV in any parking space. The announcement marks another win for Tesla and its NACS charging standard, which is becoming widely adopted. However, the magnitude of Tesla's potential to capitalize financially from charging wins remains a topic of debate on Wall Street.
ChargePoint's stock rose after the company announced it will adopt Tesla's EV charging plug, signaling a win in the standards war. Other EV charging stocks also rallied in response to the news.
ChargePoint has announced that it will offer Tesla's NACS connector on new and existing charging stations, joining other major charging companies in North America. The move will enable ChargePoint to serve the charging needs of any EV in any parking space, including new EVs from Ford, GM, and Rivian that will feature the connector. The company will also start retrofitting existing stations on demand starting in 2024.
