We recently published a list of 11 Best EV Charging Stocks To Invest In. In this article, we are going to take a look at where Beam Global (NASDAQ:BEEM) stands against other best EV charging stocks.
Over the last few years, the electric vehicle (EV) market has experienced significant growth, due to consumer demand, automaker investments, and substantial government support. In the US, the $7.5 billion from the 2021 Infrastructure Investment and Jobs Act and tax credits from the Inflation Reduction Act have also fueled EV growth.
According to the International Energy Agency (IEA), global public charging points are expected to exceed 15 million by 2030 and will increase to nearly 25 million by 2035. In the U.S., the government aims to install 500,000 public charging ports by 2030, with the total number of chargers expected to reach 900,000 in 2030 and 1.7 million by 2035.
Globally, home charging is expected to grow to over 270 million units by 2035, with more than 45% of electricity coming from public or private non-home chargers. Charging infrastructure for heavy-duty vehicles (HDVs) is also expected to grow significantly. By 2035, installed HDV charging capacity is projected to reach 2,000 GW. Policies like the EU’s Alternative Fuels Infrastructure Regulation and U.S. strategies are driving this expansion, alongside private investments.
The Road Ahead for EV Charging: Industry Growth and Challenges
According to PwC’s analysis, the number of charge points in the U.S. must grow from around 4 million today to 35 million by 2030 to meet demand. The PwC report has projected that the number of EVs could reach 27 million by 2030 and 92 million by 2040.
The EV supply equipment (EVSE) market is expected to expand from $7 billion to $100 billion by 2040, at a 15% compound annual growth rate. The market’s primary value pools are hardware, software, installation services, and charge point operators (CPOs). CPOs, which build, operate, and maintain charging stations, are expected to dominate and capture 65% of market revenue by 2040. On the other hand, hardware providers’ share will shrink from 46% today to 20% by 2040.
Despite the clear market opportunities, challenges remain, including educating consumers, financing infrastructure, and ensuring cost-effective solutions across different charging segments. Companies looking to enter or expand in the EVSE market will need to understand evolving customer needs, adopt appropriate business models, and prepare for long-term investments with a focus on strategic partnerships and potential acquisitions.
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A fleet of electric vehicles lined up in uniform, highlighting the convenience of the company’s transportation solutions.
Beam Global (NASDAQ:BEEM)
Number of Hedge Fund Holders: 2
Beam Global (NASDAQ:BEEM) specializes in innovative clean technology that addresses the growing demand for renewable energy and efficient EV charging solutions. The company develops, patents, and manufactures a range of advanced products, including solar-powered EV chargers and off-grid energy systems. These solutions, such as the EV ARC and Solar Tree DCFC, utilize renewable energy sources to provide scalable and rapidly deployable infrastructure. Its technology not only supports EVs but also offers crucial energy storage and security solutions.
Beam (NASDAQ:BEEM) has a strong presence in both the U.S. and Europe and is financially healthy with no debt and a $100 million credit line. The company focuses on solving problems with traditional energy systems and is known for its innovations in battery management and new types of devices. It takes the 10th spot on our list of the best EV charging stocks to invest in.
The company is committed to addressing the challenges of traditional grid-tied infrastructure and its focus on innovations like battery thermal management and wireless devices position it as a significant player in the transition to clean mobility and energy solutions.
Beam (NASDAQ:BEEM) has recently introduced the BeamSpot system, which is a new sustainable curbside EV charging solution that integrates solar, wind, and utility electricity with proprietary batteries. BeamSpot provides both lighting and EV charging in challenging environments such as street parking, multi-unit housing areas, and public spaces like airports and shopping centers.
The company is also quite active in expansions as it announced the completion of its acquisition of Telcom, a Belgrade-based company specializing in power electronics such as inverters, charge controllers, power supplies, and LED lighting on September 5. It is expected to improve Beam Global’s (NASDAQ:BEEM) product offerings by replacing third-party components with Telcom’s in-house solutions, potentially reducing costs and improving quality.
In the second quarter, Beam Global’s (NASDAQ:BEEM) stock was owned by 2 hedge funds, at a combined value of approximately $230,000. As of June 30, Millennium Management is the company’s most significant shareholder with 26,239 shares worth $120,962.
Overall BEEM ranks 10th on our list of the best EV charging stocks. While we acknowledge the potential of BEEM as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than BEEM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure. None. This article is originally published at Insider Monkey.