Beam Global Reports Another Record Quarter
Investing in electric vehicle (EV) stocks can be an exercise in patience. EV stocks might be among the hottest plays on Wall Street right now, but some of the biggest EV manufacturers aren’t expected to start producing vehicles until 2022—or even 2023.
The best bet for EV investors might be shares of overlooked pick-and-shovel companies that are already generating revenues and taking advantage of the White House’s EV Charging Action Plan. One of the most compelling of such companies is Beam Global (NASDAQ:BEEM).
Among other things, the company creates charging products for EVs. This isn’t something the company has the market cornered on, but what sets Beam Global apart from its peers is that its power is entirely clean, 100% solar.
With other EV charging companies, you need to pay someone to install the charger and you need to pay for the electricity to juice your EV. In a world where EV customers want to get as close to zero emissions as possible, Beam Global could be part of their journey.
The company’s products can charge any brand or class of EV and power any brand of EV charger. Moreover, customers don’t have to deal with permits, construction, electrical work, utility bills, or vulnerability to blackouts.
Best of all, the company’s 100% sustainable EV charging stations are the most rapidly deployed EV charging stations in the world, already in use in 96 U.S. cities, 12 U.S. states, and 121 countries.
Another thing Beam Global stock has going for it is the company’s rock-solid balance sheet. It has $23.0 million in cash and zero debt.
Strong financial results, a massive cash position, and the growing adoption of the company’s products support BEEM stock’s price and prevent it from tailspinning like many EV stocks.
That doesn’t mean Beam Global stockholders are entirely happy with what’s been going on with the share price lately. BEEM stock might be up by 435% over the last two years, but it’s also down by 72% year-to-date and 60% year-over-year.
Not the best numbers, but the outlook for Beam Global stock is spectacular—at least according to Wall Street. Of the analysts providing a 12-month share price forecast, their average target is $40.00, with a high estimate of $50.00. That points to potential gains of 90% and 137%, respectively.
For technical investors, although BEEM stock is down by 25% month-over-month, it’s trading near a $20.00 support level.
Chart courtesy of StockCharts.com
About BEEM Stock
Beam Global creates renewably energized products for EVs, outdoor media advertising, energy security, and disaster preparedness. The company’s diverse offerings provide it with a steady and growing customer base. (Source: “Beam Global Corporate Presentation: October 2021” Beam Global, last accessed December 29, 2021.)
The world will need tens of millions of EV chargers over the next few decades. Furthermore, outdoor media is the third-fastest-growing advertising medium, and electricity supply vulnerability is one of the greatest threats to our daily lives.
Beam Global’s products include “EV ARC,” “Solar Tree,” “EV Standard,” and “UAV ARC.”
EV ARC is the world’s only transportable, solar-powered, permanent EV charging solution. It generates and stores all of its own power.
Solar Tree is designed for charging medium and heavy-duty vehicles. Like the EV ARC, it generates and stores its own power.
EV Standard streetlight replacements use existing grid connections, solar power, and electricity from light-wind generation. They provide curbside charging without heavy construction or electrical work.
UAV ARC is a drone recharger. It generates and stores its own power, is easy to deploy, and creates a network for charging and Internet of Things (IoT) fleet monitoring.
Beam Global sells its products to municipalities, fleet operators, state agencies, businesses, the military, and the federal government. The products can be used just about anywhere you can park a car.
Recently, the company announced that the U.S. Marine Corps had placed its first order, for 21 EV ARC charging systems to be deployed at 14 bases in the U.S. The State of California also recently placed an order for 52 EV ARC charging systems.
Record Q3 Results & Highest Backlog
After reporting the highest second-quarter revenues in its history, Beam Global reported its highest third-quarter revenue ever. Its third-quarter revenue increased by 63% year-over-year to $2.0 million. (Source: “Beam Global Reports Fiscal Q3 Financial Results,” Beam Global, November 11, 2021.)
The company reported a third-quarter 2021 net loss of $1.6 million, compared to a third-quarter 2020 net loss of $1.1 million. The increased net loss came on the heels of a 63% increase in operating expenses.
The company ended the quarter with a record backlog of $7.1 million, cash and cash equivalents of $23.0 million, and no debt. It also grew its sales pipeline by 50% to $75.0 million.
“We are seeing many more multiple unit orders and we are experiencing an acceleration through the sales process,” said Beam Global’s CEO, Desmond Wheatley. (Source: Ibid.)
“We are investing in our factory and in our team while remaining laser focused on cost control, because we see nothing but growth in our future.”
Beam Global stock is an EV charging stock that could be perfect for a zero-emissions world.
The company produces the most rapidly deployed EV charging stations on the planet, it has been inking new contracts, it has no direct competitors, it has a clean balance sheet, and it has reported record results.
What’s not to love about BEEM stock?