ChargePoint: Buy, Sell or Keep?

Charging point (NYSE: CHPT) was one of the hottest stocks when it went public in 2021 through a special purpose acquisition company (SPAC). Investor enthusiasm for electric vehicle (EV) stocks was at an all-time high, and many rushed to buy the charging station company in search of a hundred billion dollar market opportunity.

Shares hit $38.50 following its merger, but haven’t come close to that price since. The company is facing significant difficulties due to slowing demand for electric vehicles, and cash burn is a primary concern among investors. Although the stock is down 95% from its post-merger high, investors should consider the following before picking up shares of the stock.

According to data from the US Department of Energy last year, ChargePoint operates 31,000 charging stations with 56,000 ports, making it the largest public electric vehicle charging network in the US, ahead of adze and Intermittent charging.

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