EVgo Inc. (NASDAQ:EVGO) President Dennis Kish has recently engaged in transactions involving the company's stock, according to a new SEC filing. On August 12, Kish sold a total of 16,414 shares of Class A Common Stock at an average price of $3.6007, netting over $59,000.
The transactions occurred over a range of prices from $3.53 to $3.635 per share, as part of a prearranged 10b5-1 trading plan established on September 27, 2023. This plan is designed to allow insiders to sell their shares at predetermined times and prices, and also to cover tax withholding obligations related to the vesting of restricted stock units (RSUs).
In addition to the sale, Kish also acquired 29,311 shares through the vesting of RSUs awarded under EVgo's 2021 Long Term Incentive Plan. These units, now converted into Class A Common Stock, were originally granted with the stipulation that they would vest in three equal annual installments, contingent upon Kish's continued employment on each anniversary of August 10, starting from 2023.
Following these transactions, Kish's updated holdings in the company amount to 47,614 shares of Class A Common Stock. The activity reflects the executive's stock-based compensation and subsequent sale to satisfy tax obligations. The transactions are detailed in the footnotes of the SEC filing, which also explain the terms of the RSUs and the vesting schedule.
EVgo, based in Los Angeles, California, specializes in automotive repair, services, and parking, and is known for its electric vehicle charging solutions. The company's stock trades on the NASDAQ under the ticker symbol EVGO.
In other recent news, EVgo, the electric vehicle charging solutions provider, has reported a substantial 32% increase in year-over-year revenue for the second quarter of 2024, surpassing $66 million. Financial services firm Stifel has adjusted its stock price target for EVgo to $6.00, maintaining a Buy rating despite the reduction. This adjustment follows EVgo's financial results, which surpassed expectations, including a revenue beat of 7.4%.
Stifel's outlook for EVgo remains optimistic, projecting the company to achieve approximately $200+ million in positive annualized EBITDA within the next 3 to 5 years. In tandem with Stifel's analysis, Cantor Fitzgerald has raised the price target for EVgo's shares to $5.00, up from the previous $4.00, based on anticipated growth in the company's network throughput.
These recent developments reflect the strong performance of EVgo in the electric vehicle market. The company's customer base now exceeds 1 million and plans to add up to 900 new charging stalls within the year are underway. EVgo's aim of achieving EBITDA positivity by 2025 appears to be in sight, contributing to the company's positive financial trajectory.
InvestingPro Insights
Amidst the recent stock transactions involving EVgo Inc. (NASDAQ:EVGO) President Dennis Kish, investors may be interested in the company's financial health and market performance. According to InvestingPro data, EVgo's market capitalization stands at approximately $1.12 billion. Despite a negative P/E ratio of -9.76, reflecting the company's current lack of profitability, EVgo has demonstrated an impressive revenue growth of 82.01% over the last twelve months as of Q2 2024. This is complemented by a quarterly revenue growth of 31.78% in Q2 2024, signaling a strong upward trajectory in sales.
InvestingPro Tips highlight that EVgo holds more cash than debt on its balance sheet, which is a positive indicator of the company's financial stability. Additionally, analysts anticipate sales growth in the current year, which could be a driving factor for future profitability despite the expectation of a net income drop this year. It's worth noting that the stock has experienced significant price volatility, with an 88.72% return over the last three months, suggesting that investors have been responsive to the company's recent developments.
For those considering an investment in EVgo, it's important to acknowledge that while the company is not profitable over the last twelve months, its liquid assets exceed short-term obligations, providing some financial cushion. Moreover, with a total of 14 InvestingPro Tips available, interested parties can access a wealth of additional insights on the company's financial metrics and analyst expectations by visiting the dedicated InvestingPro page for EVgo at https://www.investing.com/pro/EVGO.
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