Stocks to buy

Admittedly, EVgo (NASDAQ:EVGO) stock doesn’t represent the only electric vehicle charging company out there. Yet, EVgo is a serious threat to the competition as the company is building out its charging station network at an impressive pace.

Besides, EVGO investors should appreciate the fact that EVgo is currently a profitable business venture – not something that every startup can claim.

It’s always nice to have the government on your side when you’re making an investment. Consider, for instance, that the Biden administration has approved $900 million in spending to establish EV chargers on America’s highways. This is part of a larger, bipartisan-approved infrastructure build-out package. This earmarks $7.5 billion toward a network of 500,000 EV charging stations by 2030 in the U.S.

Already, EVgo is starting to look like a worthy wager. Still, it’s important to delve into the company’s financials, which, as we’ll discover, appear to be improving.

What’s Happening with EVGO Stock?

EVGO stock settled near $7 not long ago, so it’s still quite affordable for most people’s portfolios. The stock’s 52-week high was more than twice that price, so there may be room for a 2x move at some point.

Before you get dollar signs in your eyes, though, let’s see what EVgo’s been up to lately. Notably, EVgo established a fast-charging station near Lake Merritt in Oakland, Calif, and when we say, “fast-charging,” we’re not kidding. These machines can charge some EVs up to 80% in 15 to 45 minutes.

Investors should expect to see more developments like this in the near future. You just never know where you might see an EVgo charging station next. If you can believe it, EVgo had 2,397 charging stalls in operation or under construction by June 30 of this year.

EVgo Is Now a Profitable Business

Actually, EVgo had plenty of bragging points in 2022’s second quarter, even beyond the rapid charging stall network build-out. For example, the company’s quarterly network throughput reached 10.1 gigawatt-hours, up 66% year over year.

That’s a whole lot of power, and as it turned out, EVgo had a power-packed quarter from a financial standpoint as well. Impressively, the company’s Q2 2022 revenue grew 90% YOY to $9.1 million.

Perhaps best of all, EVgo pivoted from a loss to a profit during the past year. In 2021’s second quarter, EVgo reported a GAAP net loss of $$18,420,000. Fast-forward to Q2 2022, and the company posted GAAP net income of $16,997,000 – quite a turnaround, you must admit.

What You Can Do Now

So, is it time for investors to “connect the watts” and take a long position in EVGO stock? This isn’t for everyone, as EVgo is a startup business that has to prove itself over time.

That said, it’s nice to know that you’d be invested in a business with government backing and a profitable profile. Hence, if you’re excited about the fast growth of America’s EV charging station network, then a stake in EVgo could be right for you, right now.

On the date of publication, neither Louis Navellier nor the InvestorPlace Research Staff member primarily responsible for this article held (either directly or indirectly) any positions in the securities mentioned in this article.

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