JPMorgan & EVgo Charged Together to Enhance EV Adoption

With the aim of promoting environmental sustainability and reducing carbon footprint, Chase, the U.S. consumer and commercial banking business of JPMorgan Chase & Co. (NYSE: JPM), and EVgo, Inc. (EVGO) have entered into a partnership deal. Financial details were kept under wraps.

Per the terms, along with the owner and operator of a direct current fast-charging network, the bank will launch electric vehicle charging stations powered by 100% renewable energy at some of its branches in the U.S.

Following the news, shares of JPMorgan remained almost flat at the close on Thursday, while EVgo surged ~5%.

Details of the Plan

Per JPMorgan’s plan, EV chargers will be installed at 50 branches by the summer of 2023, with the expected opening of the first station this summer in Carmel, Indiana. From customers’ viewpoint, it will be an added advantage to get their banking done while charging their cars.

Additionally, on-site solar power is also targeted to expand to about 400 additional branches by the end of 2022. The bank plans to reduce the environmental impact of its operations with the aim of minimizing greenhouse gas emissions by 40% from its buildings, branches, and data centers by 2030.

The CEO of Chase Consumer Banking, Jennifer Roberts, said, “We’re always listening and taking feedback from customers when it comes to the branch experience, and we know environmental sustainability is important to them. We’re excited to work together with EVgo to bring electric vehicle charging to our branches and offer this important service to thousands of customers and their communities.”

Transportation being a huge source of greenhouse gas emissions in the United States, electric vehicles are projected to reach 145 million on the road by 2030. Therefore, the said partnership will enhance the EV industry, as under-developed charging infrastructure remains one of the biggest obstacles to EV adoption.

Wall Street’s Take

Recently, Piper Sandler analyst Jeffery Harte maintained a Buy rating on JPMorgan but lowered the price target to $165 (24.2% upside potential) from $187.

The rest of the Street is cautiously optimistic about the stock, which has a Moderate Buy consensus rating based on nine Buys, six Holds, and one Sell.

The average JPMorgan price target of $172.06 implies 29.5% upside potential. Shares have fallen about 15.4% over the past year.

Bloggers Weigh In

Bloggers seem enthused by the company’s developments. TipRanks data shows that financial blogger opinions are 89% Bullish on JPM, compared to a sector average of 69%.

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