Chargepoint is trading today as a penny stock!

 

Feb 11th 2025

We have been "Stopped out" of Chargepoint shares.

O U C H !!!  Speculation can hurt, even if it is only 1% of your portfolio!

Who might be interested in Acquiring Chargepoint's EV charging network?

Who might be interested in Acquiring Chargepoint's EV charging network?

 Feb 11th 2025

We have been "Stopped out" of Chargepoint shares.

O U C H !!! Sometimes speculation can hurt! (even if it's just 1% of your portfolio)

However, the article remains to see what happens. CHPT moved to our watch list for now!

This articles is speculative as, there’s no concrete evidence or official announcement that ChargePoint is on the block or that any particular company has definitive plans to buy them. 

With that said, here’s how one might reason about who could be most interested and best positioned to acquire ChargePoint:

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1. BP

• Why BP?

  • BP has already made several moves in EV charging—e.g., acquiring Chargemaster (now BP Pulse) in the U.K. and AMPLY Power in the U.S.
  • They have a strategic objective to diversify into lower-carbon businesses.
  • Synergies: BP can integrate ChargePoint’s network and technology with its vast global fuel retail footprint, particularly in North America where ChargePoint is strong.

• Why It Makes Sense

  • Instant Scale: ChargePoint’s extensive network would give BP an immediate, top-tier presence in the U.S. EV charging market.
  • Shareholder Pressure: As BP transitions to an “integrated energy company,” a big EV charging acquisition is a visible commitment to that strategy.

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2. Shell

• Why Shell?

  • Shell has been aggressive in the clean energy and EV charging space, acquiring companies like Greenlots in the U.S. and Ubitricity in Europe.
  • Shell’s gas station network and convenience retail model could seamlessly add another major EV charging brand to its portfolio.

• Why It Makes Sense

  • Global Reach: Shell operates in nearly every corner of the globe, so acquiring ChargePoint would bolster Shell’s expansion of EV charging stations in North America—and potentially integrate ChargePoint hardware/software in other regions.
  • Proven Track Record: Shell has demonstrated it’s willing to buy established charging companies rather than build from scratch.

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3. Chevron

• Why Chevron?

  • Chevron is somewhat late to the EV charging race compared to BP and Shell. It made smaller-scale moves (e.g., partnering with EVgo), but not a blockbuster acquisition yet.
  • If Chevron wants to catch up fast, ChargePoint—with hardware, software, and thousands of locations—would be a big leap forward.

• Why It Makes Sense

  • Competitive Response: With BP and Shell scaling in EV charging, Chevron might not want to be left behind in the future fueling landscape.
  • U.S. Focus: ChargePoint’s largest market is the U.S., which aligns well with Chevron’s strong North American presence.

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4. TotalEnergies

• Why TotalEnergies?

  • TotalEnergies (formerly Total) is actively investing in renewables and EV charging across Europe. They’ve acquired several smaller charging players and are building out networks in France and beyond.
  • They could see ChargePoint as a chance to expand rapidly in North America—an area they’re not as strong in yet compared to Europe.

• Why It Makes Sense

  • Diversification: TotalEnergies is rebranding itself as a broad-based energy company. Picking up a major EV charging firm like ChargePoint would bolster that identity.
  • Technology & Software: ChargePoint’s robust cloud-based software platform could be integrated globally with TotalEnergies’ existing networks.

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5. Large Utilities or Conglomerates

• Potential Players: NextEra Energy, Iberdrola, Engie, E.ON, or even Berkshire Hathaway (through its energy subsidiary).
• Why a Utility?
  • Utilities have a natural link to EV charging—electricity supply is their core business, and installing chargers helps grow their load and services.
• Why It Makes Sense
  • Grid Integration Expertise: Utilities already manage power distribution, so owning a charging network offers potential vertical integration.
  • Regulatory & Infrastructure Experience: Utilities are used to capital-intensive projects and have relationships with regulators, helping to streamline infrastructure deployment.

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6. An Automotive or Tech Giant

• Potential Players: GM, Ford, or even Amazon.
• Note: Chargepoint recently partnered with GM to extend their EV charging network)
• Why an OEM or Tech Firm?
  • GM and Ford (and other automakers) have partnered with third-party charging networks but haven’t outright purchased one of the largest networks.
  • Amazon might be interested in EV charging for its delivery fleet and consumer ecosystem.
• Why It Makes Sense
  • Vertical Integration: Automakers are increasingly looking to control more of the EV value chain—battery supply, software, and charging infrastructure.
  • Ecosystem Play: A tech giant could bundle EV charging with other services (e.g., Amazon’s logistics and retail ecosystem).

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The “Best Positioned” Takeaway

• BP and Shell arguably have the most well-defined strategies and track records in the EV charging space among oil majors, making them the likeliest candidates if a deal were ever to materialize.
• Chevron or TotalEnergies might be a close second if they decide to leapfrog organically building a U.S. network.
• Utilities or Tech Giants could be surprise acquirers, but they’d have to justify an acquisition of ChargePoint’s scale and align it with their core business models.

In the end, any prospective buyer would be looking for:

1. Immediate Scale and Network: ChargePoint is one of the largest EV charging networks, particularly in North America.
2. Brand and Technology: ChargePoint’s software, hardware, and partnerships (with businesses, municipalities, and fleets) would save an acquirer years of development time.
3. Strategic Fit: Whether it’s an oil major pivoting to renewables, a utility expanding its electric footprint, or an OEM/tech giant securing charging for its customers, each potential acquirer must see a clear path to synergy and long-term ROI.

Again, all of this is speculative—but from a strategic standpoint, BP or Shell are commonly viewed as the most logical suitors if (and it’s a big “if”) ChargePoint were ever up for sale.

ED Note: Full Disclosure

We have been accumulating CHPT shares!

ChargePoint stands to significantly benefit from the U.S. government's new infrastructure bill, which allocates substantial funding for expanding electric vehicle (EV) charging infrastructure

 

ChargePoint Holdings, a leading provider of electric vehicle (EV) charging infrastructure, appears to have strong growth potential in the next 2-3 years, driven by several factors:

1. Increasing Demand for EV Charging: The growing adoption of electric vehicles is significantly driving the need for more charging infrastructure. In 2023, ChargePoint reported a 53% increase in annual charging sessions, with the amount of energy dispensed increasing by 70% year-over-year. This trend is expected to continue as more EVs hit the road, necessitating expanded charging networks​ (ChargePoint)​.

2. Revenue Growth Projections: Analysts predict substantial revenue growth for ChargePoint. For instance, the company’s revenue is forecasted to grow from $530 million in 2024 to $672 million in 2025, representing a 26.86% increase. This growth trajectory is supported by the increasing deployment of charging stations and rising EV sales​ (Stock Analysis)​​ (Simply Wall St)​.

3. Positive Analyst Ratings: The majority of analysts have a "Buy" rating for ChargePoint's stock, with an average price target suggesting significant upside potential from its current price. The average 12-month price target of $4.48 implies a potential increase of nearly 200%​ (Stock Analysis)​.

4. Strategic Positioning and Government Support: ChargePoint is well-positioned to benefit from government initiatives aimed at boosting EV adoption and expanding charging infrastructure. This includes potential subsidies and grants which can enhance its market position and financial performance​ (ChargePoint)​.

Despite these positive indicators, it's important to note some challenges, including competitive pressures and the need for ongoing substantial investments to scale infrastructure. However, the overall outlook for ChargePoint in the next few years appears promising given the rapid expansion of the EV market and the company’s strategic initiatives to capture this growth.

ChargePoint stands to significantly benefit from the U.S. government's new infrastructure bill, which allocates substantial funding for expanding electric vehicle (EV) charging infrastructure. Here are some key ways ChargePoint will gain:

1. Funding from the National Electric Vehicle Infrastructure (NEVI) Program: The NEVI program, part of the Infrastructure Investment and Jobs Act, allocates $7.5 billion for EV charging projects, including $5 billion for nationwide funding and $2.5 billion for corridor and community charging grants. This funding will support the installation of EV chargers, covering up to 80% of project costs for infrastructure along alternative fuel corridors and in communities, which directly benefits ChargePoint's expansion efforts​ (Federal Highway Administration)​​ (ChargePoint)​.

2. Increased Deployment of Charging Stations: The Biden-Harris administration aims to build a national network of 500,000 EV chargers by 2030. This initiative will create numerous opportunities for ChargePoint to install more charging stations, particularly in underserved and high-demand areas, thereby increasing their market penetration and revenue potential​ (Federal Highway Administration)​​ (The White House)​.

3. Support for Disadvantaged Communities: A significant portion of the funding is targeted towards projects in disadvantaged and rural communities. ChargePoint's involvement in these projects aligns with the government’s Justice40 Initiative, which aims to ensure that 40% of the benefits from federal investments flow to these communities. This can enhance ChargePoint's presence in diverse locations and promote equitable access to EV charging​ (Federal Highway Administration)​.

4. Partnerships and Collaborations: The bill also facilitates collaborations between ChargePoint and other entities. For example, ChargePoint's partnerships with Volvo Cars, Starbucks, and Mercedes-Benz to deploy charging hubs will be bolstered by the available federal funds, accelerating the buildout of their charging network​ (The White House)​.

5. Job Creation and Economic Impact: The infrastructure bill promotes American job creation through the construction and maintenance of EV charging stations. This will not only support ChargePoint’s growth but also contribute to the broader economic impact by creating jobs in manufacturing, installation, and maintenance of EV infrastructure​ (The White House)​.

Overall, the infrastructure bill provides a robust financial and regulatory framework that will support ChargePoint's strategic expansion and operational growth in the coming years.

Enovix ($ENVX on Nasdaq) has developed a unique new Li battery that will enhance safety, longevity and higher energy levels

Energy Storage and EV charging are burgeoning markets today, and this company is a first mover and market leader! Here's why/

 ChargePoint has established itself as a leader in the energy storage and EV charging markets for several reasons:

1. Network Size: 

   ChargePoint operates 114,000 charging points across the U.S. and Europe, making it the largest EV charging system provider globally.

2. Growing faster

   than any competitor!

3. Integrated Solutions:

   ChargePoint collaborates with Stem, an AI-driven clean energy solutions provider, to develop an integrated EV charging and battery storage solution. 

   This approach allows fast charging deployment even before utility upgrades are complete, avoiding demand charges. 
4. Battery storage also enhances grid resilience during outages.

5. Partnerships: ChargePoint has formed strategic partnerships with companies like Volvo, Starbucks, and Mercedes to expand fast charging infrastructure and support long-distance electric travel2.

6. European Market Leadership: In a report by Frost Sullivan, ChargePoint was recognized as the European electric vehicle charging market leader based on product quality, implementation excellence, and growth strategy3.

Overall, 

ChargePoint’s commitment to mass EV adoption, extensive network, and innovative solutions contribute to its leadership position in the industry

ASIA

ChargePoint, a leading provider of networked charging solutions for electric vehicles (EVs), has been expanding its presence in Asia. While the company has primarily focused on the Americas and Europe, it has also reported triple-digit growth in Asian markets. 

Additionally, ChargePoint’s software enables access to over 900,000 global charging locations, making it a significant player in the EV charging space worldwide

Growth

ChargePoint is currently in a growth phase. ChargePoint has been experiencing significant growth in its global footprint. While specific growth rates may vary, the company’s expansion efforts have been substantial.

Also, the pullback in the EV charging portion of Tesla's business, may have a significant positive impact on it's competitors and ChargePoint is the main competitor.

New Partnerships:

ChargePoint (NYSE: $CHPT), The leading provider of networked charging solutions for electric vehicles ( $EVs), and Airbnb Inc. (NASDAQ: $ABNB) have partnered to meet a growing demand in EV charging from Airbnb guests.

Stock Price

CHPT's stock price is at or near it's all time low and therefore positive news could send the price much much higher over the next 24 months!