Beam Global Stock: Undervalued EV Stock Has 165%+ Upside

Why BEEM Stock Should Be on Investors’ Radar

Focusing attention on electric vehicle (EV) stocks like Tesla Inc (NASDAQ:TSLA) and Rivian Automotive Inc (NASDAQ:RIVN) isn’t unwarranted; they’re the biggest EV companies. But they’re also followed by everyone, and investors have already made solid gains from those two stocks.

What TSLA stock and RIVN stock don’t have is the explosive upside potential that many smaller EV stocks do. One overlooked EV stock that Wall Street thinks has more than 165% upside potential is Beam Global (NASDAQ:BEEM).

Beam creates solar-powered 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: “Investor Presentation: March 2022” Beam Global, last accessed August 29, 2022.)

Sure, there are a lot of EV charging stocks out there, but Beam Global stock is different because the company’s products are 100% solar and require no special installation procedures. With other EV charging companies, you need to pay someone to install their items and then you need to pay for the electricity.

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Beam Global’s products can charge any brand or class of EV, plus power any brand of EV charger. In addition to charging vehicles like cars and trucks, the company’s products can charge electric planes, drones, and maritime products.

Its charging stations require:

  • No construction
  • No electrical work
  • No permitting
  • No payment of utility bills

Furthermore, Beam’s chargers have no vulnerability to electrical grid blackouts.

Best of all, Beam Global’s 100% sustainable EV charging stations are the most rapidly deployed ones in the world. They’re already in use in 96 U.S. cities, 13 U.S. states, and 121 countries. 96 cities, 13 states, and 121 countries. (Source: “About,” Beam Global, last accessed August 29, 2022.)

The company’s flagship product is the “EV ARC,” a rapidly deployable, solar-powered, off-grid EV charging station that fits in a standard-size parking space. You simply park your EV under the solar canopy and plug it in.

The company recently received a $900,000 battery order to power autonomous delivery drones. The global market for drones is expected to hit $100.0 billion, with the drone package delivery market projected to expand at a compound annual growth rate (CAGR) of 49% from 2022 to 2030. (Source: “Beam Global Received $900K Battery Order to Power Autonomous Delivery Drones,” Beam Global, July 28, 2022.)

It’s easy for businesses to add an EV ARC to their premises. The units are deployed in minutes and are held in place by gravity, so there’s no need for an electrical grid connection, construction, or permits. The record for deploying an EV ARC is four minutes.

Beam Global’s “Solar Tree,” meanwhile, is a larger-scale charging option for medium-duty and heavy-duty vehicles.

Beam recently acquired AllCell Technologies, LLC, a leader in energy storage solutions. AllCell’s products are used in aviation, EV, maritime, micro mobility, robotic, and stationary storage applications. (Source: “Beam Global Announces Strategic Acquisition of ALLCell Technologies, a Leader in Energy Storage Solutions,” Beam Global, February 23, 2022.)

Beam’s clients include Alphabet Inc (NASDAQ:GOOG), Johnson & Johnson (NYSE:JNJ), Kohl’s Corporation (NYSE:KSS), McDonald’s Corp (NYSE:MCD), the U.S. Department of Energy, the U.S Department of the Navy, and the U.S. Marine Corps.

Beam Global Reports Record Revenue

In terms of financials, what sets Beam Global apart from its peers is its rock-solid balance sheet, which includes $13.8 million in cash, $19.4 million in working capital, and virtually no debt.

For the second quarter ended June 30, Beam announced that its revenue increased by 75% year-over-year to a record $3.7 million. For the first six months of this year, its revenue jumped by 144% to a record $7.5 million. (Source: “Beam Global Reports Fiscal Q2 2022 Financial Results,” Beam Global, August 12, 2022.)

The company also reported its highest contracted backlog (more than $10.0 million) and a sales pipeline record ($122.0 million).

“Q2 has been another quarter of records at Beam Global,” said Desmond Wheatley, the company’s CEO. “Our sales are up, our efficiencies are improving and we have the highest contracted backlog and sales pipeline in our history”

Wheatley added, “With first half revenues exceeding any prior full year except ’21 and all the other improvements we are making I am excited by what I expect the Beam Team will make happen during the remainder of 2022.”

Thanks to the record second-quarter results, BEEM stock has been making some significant near-term gains. As of this writing, Beam Global stock is up by:

  • 13% over the last month
  • 10% over the last three months
  • 26% over the last six months

Chart courtesy of StockCharts.com

Those are big gains, and Wall Street thinks BEEM stock is just getting started. Of the analysts providing a 12-month share-price target, their average call is for $29.33 per share and their high estimate is $40.00, pointing to potential gains in the range of 95% to 166%.

Analyst Take

Beam Global is an EV charging company that might be perfect for a zero-emissions world. It makes the most rapidly deployed EV charging stations on the planet, it has been inking new contracts, and it has no direct product competitors. Moreover, the company recently reported record second-quarter results and has a clean balance sheet.

This led Beam’s CEO to say, “With first half revenues exceeding any prior full year except ’21 and all the other improvements we are making I am excited by what I expect the Beam Team will make happen during the remainder of 2022.” (Source: Beam Global, August 12, 2022, op. cit.)

That bodes well for the value of Beam Global stock.