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    ChargePoint (CHPT) Is Up 36.7% After Margin Gains and Debt Cut – Has The Bull Case Changed?

    Simply Wall St·12/08/2025 11:14:19
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    • In the third quarter of fiscal 2025, ChargePoint Holdings reported revenue of US$105.67 million, narrowed its net loss to US$52.48 million, and later cut its debt by more than half while issuing guidance for fourth-quarter revenue of US$100 million to US$110 million.
    • Alongside these results, ChargePoint highlighted a growing mix of higher‑margin subscription revenue, expanding gross margins, and new fast‑charging deployments such as its Michigan partnership with Dabaja Brothers, underscoring its shift toward a more software- and platform-driven business model.
    • We’ll now examine how ChargePoint’s improving margins and reduced debt burden reshape its investment narrative and future risk‑reward profile.

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    ChargePoint Holdings Investment Narrative Recap

    To own ChargePoint, you need to believe that EV charging demand will keep scaling globally and that the company can convert its growing installed base into higher margin subscription income while moving closer to breakeven. The latest quarter supports that margin and cash discipline story in the near term, helped by a smaller net loss and debt cut, but persistent losses and the risk of extended project timelines remain central concerns.

    The Dabaja Brothers ultra fast charging rollout in Michigan fits neatly with this earnings story, because it shows ChargePoint pairing new high power hardware with its upgraded software platform to deepen recurring subscription and services revenue. If the company can replicate this kind of deployment across more fleets, retailers and municipalities, it could support the near term catalyst of improving margins, even if headline EV sales growth or incentives become less supportive.

    Yet while revenue is growing and debt is lower, investors should be aware that ongoing losses could still force future capital raises...

    Read the full narrative on ChargePoint Holdings (it's free!)

    ChargePoint Holdings’ narrative projects $633.2 million revenue and $64.3 million earnings by 2028.

    Uncover how ChargePoint Holdings' forecasts yield a $11.25 fair value, a 8% upside to its current price.

    Exploring Other Perspectives

    CHPT Community Fair Values as at Dec 2025
    CHPT Community Fair Values as at Dec 2025

    Seven members of the Simply Wall St Community currently estimate ChargePoint’s fair value between US$2.42 and US$38.68, highlighting very different expectations. Against that spread, the recent shift toward higher margin subscriptions and debt reduction may influence how you weigh the risk that continued losses could extend the path to breakeven and pressure funding needs.

    Explore 7 other fair value estimates on ChargePoint Holdings - why the stock might be worth less than half the current price!

    Build Your Own ChargePoint Holdings Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.