CHPT - Why ChargePoint Stock Plunged This Week
2023-06-23 10:51:55 ET
There has been a lot of news surrounding the topic of electric-vehicle (EV) charging infrastructure this week, but that hasn't helped the stock of ChargePoint Holdings (NYSE: CHPT) . In fact, the recent news has investors concerned with negative effects on the charging network company. As of Friday morning, ChargePoint shares have declined by 16% since last week's market close, according to data provided by S&P Global Market Intelligence .
The evolution of EV charging has effectively occurred on parallel paths as the adoption of EVs has grown. Sector leader Tesla has built out its own network of fast-charging Superchargers using its North American Charging Standard (NACS) connectors. Non-Tesla EVs in the U.S. used the Combined Charging System (CCS) as the standard. Other charging systems also exist, including one used by Japan.
Now, several EV makers in the U.S. are adopting Tesla's format. Ford , General Motors , and most recently Rivian Automotive have agreed to add Tesla's NACS adaptor and make the NACS charge ports standard on future vehicles. That has investors running from charging companies like ChargePoint that hadn't included NACS ports at its charging stations.
For further details see:
Why ChargePoint Stock Plunged This Week