Blink Charging Co. Faces Revenue Challenges Despite Cost Management Progress: Hold Rating Maintained

Needham analyst Chris Pierce has reiterated their neutral stance on BLNK stock, giving a Hold rating yesterday.

Chris Pierce has given his Hold rating due to a combination of factors impacting Blink Charging Co. The company has shown progress in managing costs, as evidenced by improved gross margins and a reduction in operating expenses to their lowest level in approximately three years. However, despite these positive developments, Blink Charging Co. faces challenges with ongoing pressure on its revenue due to weak product sales and limited visibility in the near term.
Additionally, the company is navigating through macroeconomic challenges and a strained balance sheet, which may necessitate securing additional capital before achieving adjusted EBITDA breakeven. The stock is considered fairly valued at present, as regulatory challenges are expected to slow down the adoption of electric vehicles, and there is uncertainty regarding the growth trajectory of Blink’s equipment sales.

In another report released yesterday, B.Riley Financial also maintained a Hold rating on the stock with a $1.00 price target.