With demand for electric vehicles on the run, investors may want to keep an eye on charging stocks, like ChargePoint Holdings (CHPT).
Remember, not only do global leaders want millions of EVs on the road, California is about to prohibit the sale of gas-powered cars.
“The rule, issued by the California Air Resources Board, will require that 100 percent of all new cars sold in the state by 2035 be free of the fossil fuel emissions chiefly responsible for warming the planet, up from 12 percent today. It sets interim targets requiring that 35 percent of new passenger vehicles sold in the state by 2026 produce zero emissions. That would climb to 68 percent by 2030,” according to The New York Times.
For that to become a reality, we need EV charging stations – lots of them.
In fact, the Biden Administration already announced that all 50 U.S. states, Washington, D.C., and Puerto Rico have all submitted plans for a national EV charging network.
“These plans are required to unlock the first round of the $5 billion of Bipartisan Infrastructure Law formula funding available over 5 years to help states accelerate the important work of building out the national EV charging network and making electric vehicle charging accessible to all Americans,” according to the U.S. Department of Transportation.
ChargePoint Holdings Stock Technically Oversold
It's all part of the reason why oversold shares of CHPT are starting to pivot higher. All after pulling back from about $19 to $14 thanks to a broad market pullback. Even better, the stock is oversold on Williams’ %R, Fast Stochastics, and RSI.