Chargepoint and Blink charging are the two most popular electric vehicle (EV) charging station stocks in America.
You may be asking which stock is a better buy: Chargepoint (SBE) or Blink Charging (BLNK).
In this article, we'll compare both stocks side by side to figure out is the better long term investment.
Table of Contents
- CHPT vs BLNK Overview
- Market Share
- Business Model
- Risk Factors
- Which Stock Is Better?
CHPT vs BLNK Overview
|Chargepoint (NYSE: CHPT)||Blink Charging (NASDAQ: BLNK)|
|Market Cap||$7.9 billion||$1.7 billion|
|# of Charging Stations||16,616||145,000|
|Annual Revenue (2020)||$146.5 million||$6.5 million|
|Annual Net Income (2020)||-$197 million||-$17.8 million|
|Cash on Balance Sheet||145 million||22.3 million|
|Total Shares Outstanding||277 million||41.9 million|
Chargepoint is the winner when it comes to market share in the United States.
Chargepoint owns a 73% marketshare ahead of its main competitors while Blink Charging owns a 8% market share in the USA.
Chargepoint is similar to Tesla as the first EV charging company to scale its product across America. I believe Blink will play catchup to Chargepoint in the future.
Both companies earn revenue through selling hardware (EV chargers) and earning residual income through software fees and subscriptions.
Blink has a slightly different business model than Chargepoint: Blink owns 100% of its charging stations.
Chargepoint is more of a 3rd party that sells its hardware to other customers and earns money through charging and subscriptions.
Blink controls its assets but Chargepoint is much more scalable and can grow bigger in the long run.
Chargepoint is already the clear market leader in the United States with over $146.5 million annual revenue in 2020.
Blink is much smaller with around $6.5 million annual revenue in annual revenue but also has around 200,000 members on the Blink Charging network.
Chargepoint CEO Romano Pasquale is a Harvard educated entrepreneur who is dedicated to fighting climate change with Charepoint's robust product offering.
Blink Charging CEO Michael Farkas founded Blink and plans to grow it into a major player in the United States.
Chargepoint offers less risk because the company has a wide moat, dominant market share, and over 160,000 charging ports deployed.
Blink Charging is a small cap company with lots of potential but must raise funds via debt or stock offering to support growth.
Massive share dilution is a strong possibility if Blink wants to continue fueling its growth.
Which Stock Is Better?
Personally, I own shares of Chargepoint because it's the largest EV charging station in the United States with the bigger market share.
If you're looking for a small cap stock with lots of upside then check out Blink Charging.
Be careful about stock offering in the future because Blink must raise cash to keep up its growth.