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Is BLNK Stock a Solid Long Term Investment?

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Blink Charging Co is a business that provides charging equipment and a network of charging services for electric vehicles. It appears on the Nasdaq stock exchange under the ticker symbol BLNK. Investors looking for long-term investment options eye BLNK as a potential addition to their retirement or other long-term investment portfolios, but many still have questions. The most frequently asked about the Blink Charging Co are: Is BLNK a solid long-term investment, and what is the outlook for the stock in the short term and the next five years? Long-term investments ride for one to five or more years. Investors must assess the potential of the stock investment to perform satisfactorily to render a return on the funds invested. If you're considering the addition of BLNK to your investment portfolio it's essential to consider its financial stability, the historical performance of the stock, market trends, and other factors that could affect stock performance. We turn to the analysts for opinions on the performance and weigh their rationale to assess the likelihood of BLNK's stock performing adequately for inclusion in long-term portfolios to help you determine if the stock is a suitable choice for your investment strategies.

Blink Charging Co. company profile

Yahoo Finance reports Blink Charging Co is an EV charging company that provides equipment and networks of charging stations throughout the United States, and other countries. It operates through the parent company and its network of subsidiaries. Blink specializes in commercial and residential EV charging equipment. Additionally, the Blink Network is a cloud=based system that manages and maintains its network of charging stations, data, payment processing, and back-end operations. The Blink Network provides services for state and municipal entities, parking companies, property owners and managers, and others with equipment and services to remotely monitor and manage EV charging stations. It provides EV drivers with information about stations, availability, and fees for EV charging. Blink Charging also supplies hardware, software, and service plans for its customers. The company established strategic partnerships with universities, schools, supermarkets, workplace locations, transportation hubs, restaurants retailers, and stadiums. The services offered by Blink Charging are offered through its direct sales force and resellers.

Blink Charging Co. was founded in Miami Beach, Florida in 2009 and deployed 30,000 charging sports as of March 2022. The company owns and operates charging stations throughout the nation, offering solutions to the problem of charging EV-powered vehicles. Crunchbase confirms that Blink Charging Co raised $800,000 fin funding through a Grant supplied by the Commonwealth of Massachusetts. Blink Charging Co acquired Blue Corner on May 11, 2021. It's a company that provides total solutions for making electric driving easier for companies and individuals. The company is based in Antwerpen, Belgium. Blink charging Co. acquired U-Go stations, a provider of convenient and affordable EV charging stations across the nation. They acquired U-Go Stations in 2020. U-Go Stations is in Philadelphia, Pennsylvania.

Blink Charging Co is a stable company backed by the Commonwealth of Massachusetts. The company expanded its operations from Miami, Florida to Antwerpen, Belgium, and Philadelphia, Pennsylvania, adding subsidiary companies with like services and values, growing its reach in the EV charging market. It's an established provider postured in a solid position to provide its services and products in a market where demand is steadily growing and forecasted to continue to grow as mandates for moving to EV-powered vehicles are suggested by numerous states in America. New York and others plan to ban the production of gas-powered vehicles by 2045, exacerbating the need for products and services offered through Blink Charging Co. Blink has also partnered with General Motors in an agreement to build EV chargers.

Is Blink Charging Co a stable company?

Go Banking Rates comments that Bling Charging has maintained stable stock levels with stocks moving from $32 to $36 in August 2022. The market capitalization for Blink Charging is over $1.3 billion, with annual revenue of $6.23 million. Blink is gaining contracts which suggest stock levels may rise shortly. It also indicates that Blink Charging may require an upgrade for its infrastructure. The current outlook from Go Banking Rates suggests that Blink Charging will see massive growth in the years ahead. The stock is considered a fertile investment opportunity as we're on the cusp of a growing market for EV charging stations, equipment, and services. The current stability of Blink charging Co is not in question as it has all earmarks of being situated in a positive spot. We consider the recent influx of grant funding from The Commonwealth of Massachusetts. The funding serves as a basis for any needed infrastructure expansion. The acquisition of two like companies and the prospects for all the business the company can handle in the months and years ahead suggests that Blink Charging Co. is well postured. The current balance sheet shows Blink Charging with an asset base of $36.5 million in short-term investments and $196.6 million in cash and equivalents. The long-term debt is just $400,000 with no interest expenses.

Historical performance

In July 2021, Blink charging stock experienced a rally of over 1,000 percent. The change occurred from previous values in March of 2019. It was rated as slightly undervalued, maintaining a bullish stance for long-term prospects, according to Seeking Alpha. Analysts predicted that BLNK would see explosive growth in the years to come. That was back in 2019. Investors enjoyed an almost 1,200 percent return on their investments. The question asked was if the stock would continue to perform. They cited the fast-growing EV market to base their somewhat sunny outlook on BLNK's long-term growth potential. The analysts also considered improvements in charging station efficiency from the 2011 estimates of 73 miles per charge to more than 300 miles per charge in the 2019 Tesla's operating with more energy efficiency. Some viewed the reduction in the need for charge frequency as a negative. In light of the increasing numbers of electric vehicles on the road paired with forecasts for millions more, negativity is mitigated. We'll need more charging stations, and the demand will increase. There's not likely to be an oversaturation in the market soon. The historical performance of BLNK causes no reason for investor concern.

What are the risks?

The most concerning risk for BLNK is competition. Some EV manufacturers deploy their charging stations, which leaves independent companies out of the competition. Not all EV manufacturers have committed to the coverage, and it's unlikely they could meet the increasing demands if they did. The risks associated with Blink Charging Co are suggested to be low at this point. The company enjoys a strong gross margin of 25 percent, trumping that of competitors by a few points. It's suggested that Blink will enjoy a better profit margin in the long run as the positive net income is projected to continue on a positive trajectory with increases through 2025. The current picture shows little risk that Blink Charging cannot overcome, with no foreseen major obstacles preventing them from continuing a positive path forward.

BLNK Stock analysis for March 2022

In the last thirty days, Blink Charging shared its fourth-quarter earnings report in conjunction with its full-year report. It showed negative activities which affected the gains, according to The Motley Fool. Blink's fourth-quarter losses on its earning report stirred a slight dent in the gains, moving them back from 13.5% to 4.5% but it's far from catastrophic. Concerns over rising fossil fuel prices are making electric vehicles a more attractive option. Investor reaction to the fourth quarter losses was evident, but revenue continues to soar at an encouraging rate, and the addition of partners to its expanding charging network with international expansion and additions of several new charging products keep BLNK in a solid position. Confidence among investors may have dipped slightly, but confidence remains high. The Fool expects share prices to experience some volatility as the EV market has had its ups and downs, but the outlook for demand is healthy.

Other investor analyst's opinions

Panda Forecasts forecasts of target prices of stock for April 2022 show positive dynamics prevailing with possible volatility, holding largely positive outlooks for the month, for short-term consideration. Zacks analysts give BLNK shares a number 4 rank expecting below-average returns to occur over the next few months. They suggest Blink stock is overvalued making it a bad pick for value investors and momentum investors.

Is BLNK Stock a Solid Long-Term Investment?

Although some analysts suggest BLNK is a poor choice for the short term, the forecast extends out a few months. What is the outlook for its long-term benefits? Wallet Investor projects that the future values of Blink Charging Co. hold promise for generating a strong return. It's viewed as a profitable investment option for the long term. They expect BLNK to generate a return of up to $238.71 on an investment of $100 in five years. CNN Business aggregates the opinions of six analysts who offer forecasts for the next twelve months. They estimate an increase of up to 20.85% over the next year, further suggesting that BLNK Stock is a solid option for inclusion in a long-term investment portfolio. Their estimates commit to Blinkk Charging Co's target of $29.50 per share with low estimates of the stock at 26 and high estimates at up to 50. They recommend that Blink Charging Co stock is at a buy status. They've maintained the recommendation since March 2022 and continue their stance in April 2022.

Why are there disagreements among analysts?

Analysts look at various factors when making their assessments of stock futures. The Motley Fool's formula considers investor concerns over fourth-quarter losses, which are not indicators of failure or falling value. Their opinion is that BLNK is overvalued, which is not mentioned by other analysts. More investment experts suggest that BLNK is a solid bet for long-term investment than those against it. The Fool's assessment is for short-term, value, and momentum investments, which do not translate into long-term in for the long-haul investors. The devil is in the details when synthesizing the information and opinions provided by notable experts in stock investment. Each opinion is valuable and provides you with factors worthy of consideration.

Final thoughts

Any stock investment involves taking a risk, but the risk is calculated. When the benefits outweigh the risks, the likelihood of gaining from an investment increases. Blink Charging Co is a solid company that is firmly established and poised to reap the benefits of an emerging industry with strong prospects for supplying growing consumer demands for the products and services it provides. The strongest risks associated with an investment in BLNK stock exists within downturns in the EV industry, the possibility of EV companies providing their charging station, creating stiff competition, and investors' overreactions to ups and downs in stock performance. They're common risks, however, Blink Charging occupies a solid financial base with profitability and prospects for an explosion in revenues in the months and years ahead. The low risk does not correlate to high returns on investments, supporting The Fool's assessment that it's not a good choice for value or momentum investors. It won't bring in the potential returns of an aggressively high risk bet well wagered, but it offers a stable steady return for investors with forecasters predicting stability and increased returns in the long-term. BLNK stock gets our vote as a solid investment option for inclusion in diversified portfolios for long-term and retirement investing. It's wise to consult with your financial advisor before making any investment decisions.

Allen Lee

Written by Allen Lee

Allen Lee is a Toronto-based freelance writer who studied business in school but has since turned to other pursuits. He spends more time than is perhaps wise with his eyes fixed on a screen either reading history books, keeping up with international news, or playing the latest releases on the Steam platform, which serve as the subject matter for much of his writing output. Currently, Lee is practicing the smidgen of Chinese that he picked up while visiting the Chinese mainland in hopes of someday being able to read certain historical texts in their original language.

Read more posts by Allen Lee

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