EVgo Is Well-Positioned For Robust Revenue Growth: Analyst

J.P. Morgan analyst Bill Peterson reiterated an Overweight rating on the shares of Evgo Inc (NASDAQ:EVGO) with a price forecast of $5.00.

EVgo beat revenue expectations, thanks in part to stronger-than-anticipated performance from its eXtend business, said the analyst.

The company reaffirmed both its financial and stall deployment targets, easing investor concerns around the stability of its Department of Energy (DOE) loan, which saw a second drawdown in April and remains on track for quarterly disbursements over five years.

Management believes EVgo is well-positioned to grow market share in fast charging, especially as peers face challenges from uncertain EV policies and reduced spending by site hosts.

Also Read: Ford Outperforms In Q1, Faces Tariff Challenges Ahead, Say Analysts

The analyst stated that additional non-dilutive funding and potential small-scale acquisitions may further support growth.

Tariff-related cost impacts are expected to be manageable at around $4–5 million in 2025, with much of the affected equipment already in inventory or en route. The company anticipates that cost-saving measures will help absorb these expenses.

EVgo operates one of the largest DC fast-charging networks in the U.S., generating revenue from its expanding charger base.

The company adds capacity based on growing demand and offers a reliable network that is compatible with all EVs, including Teslas, without adapters.

With strong partnerships across automakers, rideshare, and autonomous fleets, EVgo is well-positioned for robust revenue growth, driven by rising utilization, faster charging, and potential DOE loan support, concluded the analyst.

Price Action: EVGO shares closed higher by 4.36% at $3.83 on Thursday.

Read Next:

Tesla Tried To Trademark ‘Robotaxi’ And ‘Cybercab’ Terms: Why It Could Be Forced To Pick A New Name

Photo via Shutterstock

Latest Ratings for EVGO

Date	Firm	Action	To
Dec 2021	Needham	Initiates Coverage On	Hold
Dec 2021	JP Morgan	Initiates Coverage On	Overweight
Nov 2021	Capital One	Initiates Coverage On	Equal-Weight

View More Analyst Ratings for EVGO

View the Latest Analyst Ratings

“ACTIVE INVESTORS’ SECRET WEAPON” Supercharge Your Stock Market Game with the #1 “news & everything else” trading tool: Benzinga Pro – Click here to start Your 14-Day Trial Now!

Get the latest stock analysis from Benzinga?

This article EVgo Is Well-Positioned For Robust Revenue Growth: Analyst originally appeared on Benzinga.com