ChargePoint (NYSE:CHPT) Issues Quarterly Earnings Results, Beats Estimates By $0.08 EPS

ChargePoint (NYSE:CHPT) issued its quarterly earnings results on Wednesday. The company reported ($1.35) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($1.43) by $0.08, FiscalAI reports. The firm had revenue of $116.08 million for the quarter, compared to analyst estimates of $105.43 million. ChargePoint had a negative return on equity of 723.17% and a negative net margin of 40.59%.

Here are the key takeaways from ChargePoint’s conference call:

• Q2 revenue reached $116 million, up 18% year over year and above the company’s $100 million–$110 million guidance range, driven primarily by stronger hardware shipments and higher North American home-charging sales.
• Normalized non-GAAP gross margin rose to approximately 35%, while reported margin was 38% including a roughly $4 million one-time tariff refund. Management expects margins to remain near normalized levels and cites manufacturing efficiencies, product mix, software pricing, and new hardware as potential long-term drivers toward its 40% target.
• ChargePoint reported essentially zero cash usage in the quarter, helped by lower inventory and an adjusted EBITDA loss that narrowed to $5 million from $19 million in Q1. Operating expenses are expected to fall below $50 million per quarter for the rest of the fiscal year, supporting progress toward cash-flow and adjusted EBITDA breakeven.
• Early access shipments of the new Express Solo DC fast-charging platform have begun, with substantial early commitments and a growing backlog; production inventory is expected to be available in fiscal Q4, with management expecting the platform to become a significant revenue driver entering fiscal 2028.
• Third-quarter revenue guidance of $105 million–$115 million implies only 4% year-over-year growth at the midpoint, and management cautioned that the Q2 boost from North American home-charging sales was tied to a lumpy promotional period and is not expected to repeat in Q3. Further tariff refunds are also largely absent from the outlook.

ChargePoint Price Performance

CHPT stock opened at $9.13 on Friday. The stock’s 50 day moving average is $5.87 and its two-hundred day moving average is $6.14. ChargePoint has a 52-week low of $4.44 and a 52-week high of $12.61. The company has a market capitalization of $222.95 million, a PE ratio of -1.27 and a beta of 1.77. The company has a quick ratio of 0.56, a current ratio of 1.15 and a debt-to-equity ratio of 10.73.

Insider Activity at ChargePoint

In other ChargePoint news, CFO Mansi Khetani sold 8,152 shares of the stock in a transaction on Tuesday, June 23rd. The shares were sold at an average price of $7.13, for a total transaction of $58,123.76. Following the transaction, the chief financial officer directly owned 179,348 shares in the company, valued at $1,278,751.24. This represents a 4.35% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, General Counsel Eric Batill sold 4,979 shares of the business’s stock in a transaction dated Tuesday, June 23rd. The stock was sold at an average price of $7.13, for a total transaction of $35,500.27. Following the completion of the sale, the general counsel directly owned 143,631 shares of the company’s stock, valued at $1,024,089.03. The trade was a 3.35% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 29,164 shares of company stock worth $208,037 over the last three months. 4.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On ChargePoint

A number of hedge funds have recently bought and sold shares of the company. Hsbc Holdings PLC acquired a new stake in ChargePoint during the fourth quarter valued at approximately $73,000. Invesco Ltd. increased its holdings in shares of ChargePoint by 94.2% in the 4th quarter. Invesco Ltd. now owns 340,479 shares of the company’s stock valued at $2,261,000 after acquiring an additional 165,152 shares during the last quarter. XTX Topco Ltd acquired a new stake in shares of ChargePoint during the 4th quarter valued at approximately $365,000. Millennium Management LLC raised its position in shares of ChargePoint by 25.1% during the 4th quarter. Millennium Management LLC now owns 362,839 shares of the company’s stock valued at $2,409,000 after acquiring an additional 72,826 shares in the last quarter. Finally, Engineers Gate Manager LP lifted its stake in ChargePoint by 303.5% during the fourth quarter. Engineers Gate Manager LP now owns 63,015 shares of the company’s stock worth $418,000 after purchasing an additional 47,396 shares during the last quarter. 37.77% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

A number of research firms recently issued reports on CHPT. TD Cowen restated a “hold” rating on shares of ChargePoint in a report on Thursday. Royal Bank Of Canada restated a “sector perform” rating and set a $6.50 price objective on shares of ChargePoint in a report on Thursday, June 4th. Oppenheimer restated a “market perform” rating on shares of ChargePoint in a report on Thursday. Needham & Company LLC reissued a “hold” rating on shares of ChargePoint in a research report on Thursday. Finally, UBS Group reissued a “neutral” rating and issued a $8.00 price objective (up from $7.00) on shares of ChargePoint in a research report on Tuesday, June 23rd. One investment analyst has rated the stock with a Buy rating, seven have given a Hold rating and three have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Reduce” and a consensus price target of $8.31.

Trending Headlines about ChargePoint

Here are the key news stories impacting ChargePoint this week:

• Positive Sentiment: Revenue and earnings beat estimates: ChargePoint reported quarterly revenue of approximately $116.1 million, up 17.7% year over year and ahead of consensus near $105 million. Its adjusted loss of $0.35 per share was substantially narrower than the expected $0.80 loss and improved from $1.42 a year earlier. ChargePoint Q2 earnings report
• Positive Sentiment: Profitability trends improved: Gross margin reached about 36% on a GAAP basis and 38% on a non-GAAP basis, while the adjusted EBITDA loss narrowed to $4.8 million from $22.1 million a year earlier. Management highlighted new products, European momentum and a path toward positive EBITDA. ChargePoint margin improvement and short covering
• Positive Sentiment: Forward outlook exceeded expectations: ChargePoint guided fiscal third-quarter revenue to $105 million-$115 million, around $110 million at the midpoint, slightly above analyst expectations. Heavy call-option activity and elevated short interest may have amplified the upward move through short covering. ChargePoint Q2 outlook
• Neutral Sentiment: CEO Rick Wilmer said the recent market reaction could mark the beginning of sustained momentum, but the turnaround still depends on continued charging-demand growth and further loss reduction. ChargePoint CEO comments
• Negative Sentiment: Analyst caution could limit further gains: RBC Capital Markets said slowing charging demand weighs on ChargePoint’s outlook. The analyst consensus is reported as “Reduce,” while Needham reaffirmed a “Hold” rating; a reported median price target of $7 is below the recently quoted share price. ChargePoint analyst recommendation

About ChargePoint

ChargePoint (NYSE: CHPT) is a leading provider of electric vehicle (EV) charging solutions that designs, develops and markets charging hardware, software and services. The company’s portfolio includes Level 2 AC charging stations for residential, commercial and fleet applications, as well as DC fast charging systems suited for retail, hospitality and public use. ChargePoint’s integrated platform enables site hosts to manage charging infrastructure through cloud-based monitoring, analytics and billing tools, while EV drivers access and control charging sessions via a mobile app or RFID card.

Since its founding in 2007 and headquarters in Campbell, California, ChargePoint has built one of the largest open EV charging networks in the world.