The 4 Most Undervalued EV Charging Stocks to Buy Now
With soaring interest rates and market turbulence, you might not be happy with the way your portfolio looks right now. But this is also a time to make smart moves and bag top stocks while they are trading at a discount.
Despite the volatility in the stock market, electric vehicle charging stocks continue to attract attention. The push toward electric vehicles and incentives for buyers has brought the EV industry to the center stage. Electric cars will continue to gain popularity, and the demand for charging stations will increase in the years ahead.
To make the most of the current situation, investors should not only focus on EV stocks but also on EV charging stocks. This includes companies engaged in building charging stations, electric motors and batteries. Here are the top four most undervalued EV charging stocks to buy.
Undervalued EV Charging Stocks: Wallbox (WBX)
At the top of the list is Wallbox (NYSE:WBX). A very attractive EV charging stock with massive long-term potential, it is a smart EV charging and energy management provider that manufactures and distributes EV charging technologies. The company offers a range of charging solutions for commercial and residential use.
Wallbox is in the growth stage and has reported impressive revenue growth of 192% in the first quarter of this year. Its revenue stood at 28.3 million euros and it expects top-line growth in the range of 145% to 190%. It also achieved gross margins of over 40%, which is nothing but impressive.
What makes WBX attractive is the consistent expansion in global presence. The company has its products being sold in more than 100 countries and it is constantly expanding. Considering the massive addressable market, Wallbox has a long way to go and the growth trajectory will remain robust. WBX stock is down 40% over the year to date and is trading at $9.78 today, much lower than the 52-week high of $27.50. If the company manages to expand the product line, there is no looking back.
WBX stock is one of the most undervalued EV charging stocks to buy and is worth your money at the current level.
One cannot talk about EV charging without mentioning ChargePoint (NYSE:CHPT). The company has the largest online network of EV stations and operates across 14 countries. It creates technology that is used to power the network and monitors and maintains the charging stations as part of its subscription-based product line. CHPT stock is trading at about $16 a share and has a market cap of $5 billion.
Interestingly, the company has recently signed an agreement to see the installation of hundreds of charging stations at condominiums and apartment complexes across California. It will bring close to $4.5 million for ChargePoint.
You can power your Tesla (NASDAQ:TSLA) at a ChargePoint location if you have a Tesla adapter. The company allows you to power up your car wherever and whenever you go. Its fundamentals are impressive and the company managed to more than double revenue year over year to hit $81.6 million. With the high penetration of EVs in the country, there will be a rise in the demand for charging stations and this is where ChargePoint Holdings will make all the difference.
CHPT stock is trading at a discount and could be a solid long-term play.
Undervalued EV Charging Stocks: Blink Charging (BLNK)
Next on the list, we have Blink Charging (NASDAQ:BLNK), a provider of EV charging equipment and services. Its main products include EV supply equipment and it has a presence in over 18 countries. The company operates more than 30,000 charging ports and is steadily expanding. You can charge the batteries anywhere in the world at Blink Charging stations. The recent market volatility hasn’t been kind for the company and BLNK stock is down more than 32% over the past year.
However, the fundamentals are proof that Blink Charging has a long way to go.
For the first quarter, it reported a revenue of $9.8 million, a whopping 339% rise year over year. The momentum will continue throughout 2022 and BLNK will be able to report stellar numbers again. There is more than one reason to bet your money on BLNK stock and the company’s massive growth potential is proof that you will not regret the decision.
EVgo (NASDAQ:EVGO) is not as big as the other companies mentioned on this list but it is still worth watching. The company has more than 800 locations and it owns and operates the country’s largest public direct fast charging network. EVgo has a network that is powered by renewable electricity through renewable energy certificates.
It reported first-quarter results in May and hit revenue of $7.7 million, an 86% rise year over year. The revenue is driven by fleet charging and retail charging. It already has plans to develop new EV charging stations across the U.S. in the coming years and the growth of the company is evident considering the popularity of EVs. It recently entered into an agreement to put charging stations at Pilot and Flying J travel centers.
EVGO stock is trading close to $9 today, significantly lower than the all-time high of $19.59, and is one of the most undervalued EV charging stocks to buy. Grab it while it is trading at a discount.
On the date of publication, Vandita Jadeja 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.