CHPT - Better EV Stock: Nikola vs. ChargePoint Holdings
2023-11-21 05:35:00 ET
Nikola (NASDAQ: NKLA) and ChargePoint (NYSE: CHPT) both do business in the electric vehicle (EV) sector, and both went public by merging with special purpose acquisition companies ( SPACs ) during the market fervor of the meme and growth stock rally. Nikola, which develops battery-powered and hydrogen fuel cell semi-trucks, made its public debut in June 2020. ChargePoint, a leading builder of EV charging networks, arrived in March 2021.
Both stocks initially attracted a lot of attention, but they lost their luster as their growth cooled off and rising interest rates popped their bubbly valuations. Both stocks are now down by more than 90% from their market debuts. Let's consider why these two SPAC-backed EV plays ran out of juice -- and if daring investors should consider either stock to be a tempting turnaround play.
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Better EV Stock: Nikola vs. ChargePoint Holdings