EVgo (EVGO) Stock Forecast & Price Target

EVgo has demonstrated substantial growth in its network throughput, achieving a total of 95.0 GWh, which reflects an 8.0% increase sequentially and a robust 25.0% rise year-over-year, illustrating the increasing demand and utilization of its charging infrastructure. The company is on track to reach EBITDA positivity in the fourth quarter of 2025, with a projected 35% revenue growth for the same year, driven by an expanding network of high-capacity 350 kW chargers that are enhancing throughput per stall, which increased by 16% to an average of 295 kWh. Additionally, the anticipated growth in ancillary revenues, particularly from its dedicated hubs business serving autonomous vehicle partners, alongside solid financial backing for further expansion, positions EVgo favorably for long-term financial success.

The financial outlook for EVgo appears negatively impacted by a combination of factors, including a projected flat revenue trajectory amidst slowing electric vehicle (EV) adoption and increasing competitive pressure from a larger number of DC Fast Charging stations entering the market. The company reported total revenue of $92.3 million, which not only fell short of expectations by 4.9% but also marked a sequential decline of 5.8%, suggesting a concerning trend in revenue generation. Additionally, declining consumer sentiment towards EVs, rising interest rates, and adjustments in production from legacy OEMs contribute to a challenging operating environment that may hinder future growth prospects for EVgo.