While some big spending bills are being discussed in Washington, the private sector is already moving towards growing out the technology of tomorrow. From the rollout of the 5G network to the ground-up monetary overhaul of cryptocurrency, the next decade looks to be the most transformative one yet.
That’s also true with transportation. The last decade saw that the mass production of electric vehicles was possible. This decade, trends will move even more strongly in favor of these vehicles.
One of the biggest issues today is that of range. While batteries are improving, it’s necessary to recharge vehicles away from the convenience of a home or office.
That’s where charging stations come into play. And as seen from the recent earnings report from ChargePoint (CHPT), things are looking good. The company not only handily beat expectations, but also raised its expectations going forward as well.
Action to take: While still an early-stage company, it has a large growth track ahead. So while the company may take time to turn a profit, shares are likely to head higher. They’re a worthwhile stock to consider for further capital gains, on top of the 107 percent return already in shares over the past year.
For traders, the earnings report is a license to continue playing the uptrend. The January $25 calls, last going for about $3.40, stand to continue appreciating. They may deliver high-double to low-triple digit returns in the months ahead.
Disclosure: The author of this article has no position in the company mentioned here, but may trade after the next 72 hours. The author receives no compensation from any of the companies mentioned in this article.