These 2 Analysts Are Bullish Despite EV Equipment Maker Blink Charging's Wider Loss

Zinger Key Points
  • Higher expenses offset the revenue beat, leading to a wider-than-expected loss.
  • Significant revenue beat and growth ahead, analysts said.

Electric vehicle (EV) equipment provider Blink Charging Co. BLNK reported revenues of $11.5 million, ahead of the consensus estimate of $9.8 million.

However, its adjusted loss came in at 41 cents per share, versus Street expectations of a loss of 37 cents a share.

Needham On Blink Charging

Analyst Vikram Bagri maintained a Buy rating for the company, with a price target of $27.

“While revenues surprised to the upside and beat both ours and consensus top-line estimates, expenses increased more than anticipated driving a larger than expected operating loss,” Bagri said in a note.

Investors seem to be getting “more focussed on capital and expense discipline. Especially, in a slowing economic environment and lack of capital market support,” Bagri added.

However, Blink Charging could “significantly exceed” consensus revenue estimates ahead. “Fundamental drivers are the Sema acquisition, EB acquisition, and revenues from grants,” he added.

Check out other analyst stock ratings.

HC Wainwright On Blink Charging

Analyst Sameer Joshi reiterated a Buy rating and a price target of $50 for the company.

“The main driver of revenue growth though was Product sales that were $8.8M compared to $3.3M in 2Q21. Product revenues included a contribution from SemaConnect products during the few days between mid-June (when the acquisition closed) and end-June,” Joshi said in a note.

“We are projecting Blink’s revenues to increase from $49.9M in 2022E to $1.6B in 2032E…We expect blended gross margins to ramp from less than 17% in 2022 to over 27% in 2023E and exceed 50% in 2025E and beyond,” he added.

BLNK Price Action: Shares of Blink Charging had declined by 4.66% to $22.94 at the time of publication Tuesday.

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Posted In: Analyst ColorEarningsNewsReiterationSmall CapAnalyst RatingsMoversTrading IdeasHC WainwrightNeedhamSameer JoshiVikram Bagri
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