ChargePoint Holdings, Inc.CHPT
NYSE • Consumer Cyclical
$6.43
P/E
—
PEG
—
FCF Yield
—
Rev Growth YoY
+7.3% YoY
Gross Margin
31.5%
Health Score
2/10
D/E Ratio
12.75
Confidence
LOW
Business Snapshot
ChargePoint operates one of the largest electric vehicle (EV) charging networks in North America and Europe, generating revenue primarily from hardware sales of charging stations and recurring subscription fees for its cloud-based software platform. The company competes in the rapidly growing EV infrastructure market as a leading independent charging network operator, though it faces intense competition from Tesla's Supercharger network and automaker-backed charging ventures. With TTM revenue of $411.22M, ChargePoint remains in the small-cap tier despite being a first-mover in commercial charging. The defining characteristic of this business is its capital-intensive model — it must deploy significant upfront investment in hardware and network buildout before recurring software and service revenue can scale to profitability.
Financial Health
Gross margin improved slightly to 31.5% from 30.7% in the prior year, but net margin remains deeply negative at -53.5%, indicating the company is still spending far more than it earns on a per-dollar-of-revenue basis. The balance sheet is highly strained, with a debt-to-equity ratio of 12.75x signalling aggressive leverage, while a current ratio of 1.2x provides only a thin liquidity buffer...
Risk Assessment
- DEBT / LIQUIDITY — Debt/equity of 12.75x is extremely high, indicating the company relies heavily on borrowed capital to fund operations and growth.
- FCF / CASH BURN — Free cash flow of $-67.00M confirms the business is burning cash and cannot self-fund its operations.
- 52-WEEK POSITION — The current price of 6.43$ is well below the midpoint of the 52-week range (11.11$ mid), trading approximately 63.8% off the high of 17.78$.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
- EARNINGS QUALITY — Only 2 of 4 recent quarters beat earnings estimates, providing neither strong management credibility nor a pattern of conservative guidance.
- DATA QUALITY — ROE of -353.8% is flagged as distorted or a data error and is not representative of ongoing profitability; this metric should be discarded from analysis....
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