ChargePoint CEO sells more than $38,000 in company stock By Investing.com



ChargePoint (NYSE:) Holdings, Inc. (NYSE:CHPT) President and Chief Executive Officer Wilmer Richard recently sold stock in the company, a transaction that became public in a regulatory filing with the U.S. Securities and Exchange Commission. On June 21, 2024, Richard sold 27,722 shares of ChargePoint common stock, totaling over $38,730.

The shares had a weighted average price of $1.3971, with individual transactions ranging from $1.35 to $1.40 per share, according to filing details. The sale was part of a “sell to cover” transaction to satisfy withholding tax obligations related to the vesting of restricted stock units. It is important to note that such sales are required by the company's policy regarding equity incentive plans and do not reflect discretionary transaction decisions by senior executives.

After the sale, Richard still holds a substantial stake in the company, with his ownership still standing at 2,331,740 shares. The deal gives investors insight into the trading activity of ChargePoint's top brass, even though it was part of a predetermined arrangement to cover tax liabilities.

Despite the mandatory nature of this particular sale, investors and the market often monitor such insider transactions to understand what senior executives think of their company's stock. ChargePoint Holdings, Inc. is known for its electric vehicle charging infrastructure and remains a key player in the growing electric vehicle market.

For those interested in the details of the transaction, the company has committed to provide the SEC with full details upon request regarding the number of shares sold at each price within the specified range.

In other recent news, ChargePoint Holdings, Inc. reported revenue of $107 million in the first quarter of fiscal 2025, albeit down 8% from the previous quarter. The electric vehicle charging network provider also noted non-GAAP gross margin of 24% and cut operating expenses to $66 million. However, the company reported a non-GAAP adjusted EBITDA loss of $36 million.

ChargePoint is targeting positive EBITDA by the end of this year, with the majority of sales expected to occur next year. The company is also working to reduce future operating expenses. The company's recent growth includes more than one million charging stations worldwide and the launch of new partnerships and hardware co-development projects.

ChargePoint's revenue in the second quarter of 2025 is expected to decline to a range of $108 million to $118 million. Despite facing certain challenges, including delays in construction and infrastructure equipment, the company remains committed to its strategic priorities and is optimistic about the growing electric vehicle market.

Investment Professional Insights

ChargePoint Holdings, Inc. (NYSE: CHPT) has recently seen significant insider trading activity, with President and CEO Wilmer Richard selling stock to pay his tax liability. While the sale is not a discretionary transaction, it comes at a time when ChargePoint's stock performance and financial metrics are under close scrutiny.

According to InvestingPro data, ChargePoint has a market capitalization of $601.8 million, reflecting how the market currently values ​​the company. The price-to-earnings ratio of -1.21 shows that the company is not yet profitable, an insight that is in line with analysts' expectations that ChargePoint will not be profitable this year, according to a forecast from InvestingPro Tips. Additionally, the company's revenue fell 6.36% in the trailing 12 months to Q1 2025, indicating the challenges of growing in the highly competitive EV market.

Investors should note that ChargePoint's share price has experienced a significant decline, with a one-year total price return of -81.32%, which shows how hard the stock has been hit over the past year. This is consistent with another InvestingPro tip that highlighted the stock's volatility as it has taken significant hits over the past week, month and six months.

For those considering investing in ChargePoint, it's worth mentioning that the company has more liquid assets than short-term debt, suggesting a stable financial position in the short term. However, the weak gross margin of 4.8% reflects the challenges the company faces in effectively converting revenue into profits.

InvestingPro provides a number of additional tips on ChargePoint, which can be accessed by visiting https://www.investing.com/pro/CHPT. For deeper analysis and additional insights, investors can use the coupon code PRONEWS24 Subscribe yearly or yearly to Pro and Pro+ to get an additional 10% discount and unlock a total of 16 InvestingPro Tips to help make smarter investment decisions.

This article was generated with the support of artificial intelligence and reviewed by an editor. For more information, please see our terms and conditions.





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