EVgo (EVGO) Stock Forecast & Price Target

EVgo's positive outlook is supported by a notable increase in network throughput, which rose 25% year-over-year and reflects the growing demand for electric vehicle charging infrastructure, matched by a corresponding rise in average daily throughput per stall of 16%. The company plans to enhance its infrastructure further by deploying up to 5,000 new stalls annually through 2029, backed by a robust financing facility of up to $300 million, thereby facilitating ongoing network expansion. Additionally, ancillary revenue is projected to grow significantly in 2025, driven by dedicated hubs for autonomous vehicle partners, contributing to an anticipated increase in revenue and EBITDA for that year.

The analysis indicates a negative outlook for EVgo's stock due to several fundamental factors impacting revenue growth and market conditions. The company's revenue growth is projected to remain flat, driven by a slowdown in electric vehicle adoption rates exacerbated by increasing competition and regulatory changes, which could lead to further pressure on investor sentiment. Additionally, EVgo's total revenue of $92.3 million fell short of expectations, reflecting a decline from previous quarters and suggesting challenges in meeting growth forecasts amid a saturated market for DC Fast Charging stations.