Beam Global Gains on Deployment of Costa Mesa EV ARC, What’s Next?

EV charging companies are yet to wow investors. Whilst the innovation is there, the legitimacy of a business that requires a wider cultural change is sometimes deemed dubious; especially in the short term. There is no doubt that the EV shift is well underway, but there are still mountains to cross. For the most part, this explains the lack of support that EV charging companies are receiving in the market.

Rough long-term revenue models only result in optimistic speculation, and for the time being, these companies don’t appear all that investable. Sure, long-term plays might have a place for EV charging brands, but investors will have to suffer the continuation of a downside before homogenous EVs start to pump capital back into the company. 

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Today, Beam Global (NASDAQ: BEEM) opened with a 1.7% gain, following news that the EV charging company will be deploying an EV ARC solar-powered charging system for the City of Costa Mesa in Orange County California. The ARC will be used to power the Senior Center electric shuttle bus and further City fleet EVs. 

As states start to chip away on the EV shift, incentives and public initiatives become more and more commonplace. Just yesterday, Blink Charging was awarded a grant for charging apparatus in Massachusetts. Turning away from the more commonly documented commercial sector, City, corporate or public-based EVs are a formidable market sector that will require different – potentially more complex – charging requirements. 

We might see more from Beam in the near future, but investors should be careful. Company partnerships and developments appear common, yet there is still little reaction in the market to drive stock price. Valuations are as limited as current profit margins, and there is still some time to go before we see a sizeable uptick in stock price.