Free Trial

A Game-Changing Deal For Blink Charging 

→ Missed NVDA? Buy this AI stock NOW (From Chaikin Analytics) (Ad)
A Game-Changing Deal For Blink Charging 

Blink Charging To Acquire SemaConnect For $200 Million 

Blink Charging (NASDAQ: BLNK) just announced a deal to acquire SemaConnect for $200 million. This deal is a game-changing move for the company as it not only adds roughly 30% more charging stations to the network, it adds another 150,000 EV driver members to the network and has the company well set up to aid the Biden Administration. The Biden Administration has pledged to build out an EV charging network with over 500,000 stations and Blink Charging will be at the fore. 

From the DOT: "No matter what kind of EV a user drives, what state they charge in, or what charging company they plug into, the minimum standards will ensure a unified network of chargers with similar payment systems, pricing information, charging speeds, and more. The standards also establish strong workforce requirements for installation, maintenance, and operations to increase the safety and reliability of charging station function and use, and create and support good-paying, highly-skilled jobs in communities across the country."

Blink Charging Is The Only Vertically Integrated Charging Company

The deal for SemaConnect is worth $200 million in cash and stock and makes Blink the only vertically integrated charging company with operations from R&D to services sales and the analysts are noticing. Analysts at Needham say the deal looks “very strong” and raised their price target because of it. The new target of $27 is $2 higher than before but still well below the consensus of $32. The $32 consensus target is down in the 12 and 3-month comparisons but stabilizing in the wake of the last earnings report. Needham has a Buy rating on the stock compared to the broader consensus of Hold. 

“Benefits we see are: manufacturing capacity, an expanded client and customer base, more developed DCFC tech, talented employee pool, and potential upsell opportunities to existing customers which will all strengthen BLNK's relative competitive position. SemaConnect's best-in-class margins combined with (the) potential for BLNK to cut its level 2 hardware COGS by ~30% should allow the company to reach mid-30's gross margin sooner," says analysts Vikram Baghi.

The Institutions Have Blink Charging In The Cross-Hairs

The institutions only own about 37% of Blink Charging but don’t let that fool you. Although the total holdings are still small they are growing fast. The net of activity over the last 12 months is worth $237.75 million in purchases which is worth about 35% of the market cap with shares trading at $148. Assuming this trend continues, and we think it will, the institutions could easily push their total ownership to over 50% by the end of the year. Among the more notable owners is State Street Advisory Group and Invesco which own about 4.6% between them. The insiders, on the other hand, own about 17% of the stock and they haven’t been selling

Turning to the charts, it looks like Blink Charging might be at the bottom. The price action has been trending lower for many quarters but the combination of better than expected results and the push for nationwide charging stations put an end to it. Support appears to be at the $14 level which has been tested 3 times. Assuming the market follows through on this signal, we see shares of Blink charging entering a reversal very soon. Longer-term, Blink is well set up to capitalize on the EV revolution, assuming it can turn a profit the stock should return to its all-time high levels over the next 2 to 3 years. 

A Game-Changing Deal For Blink Charging 

Should you invest $1,000 in Blink Charging right now?

Before you consider Blink Charging, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Blink Charging wasn't on the list.

While Blink Charging currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Elon Musk's Next Move Cover

Wondering when you'll finally be able to invest in SpaceX, StarLink, or The Boring Company? Click the link below to learn when Elon Musk will let these companies finally IPO.

Get This Free Report

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
Blink Charging (BLNK)
2.6667 of 5 stars
$3.19+2.2%N/A-1.12Moderate Buy$7.50
Compare These Stocks  Add These Stocks to My Watchlist 

Thomas Hughes

About Thomas Hughes


Contributing Author

Technical and Fundamental Analysis


Thomas Hughes has been a contributing writer for MarketBeat since 2019.

Areas of Expertise

Technical analysis, the S&P 500; retail, consumer, consumer staples, dividends, high-yield, small caps, technology, economic data, oil, cryptocurrencies


Associate of Arts in Culinary Technology

Past Experience

Market watcher, trader and investor for numerous websites. Founded Passive Market Intelligence LLC to provide market research insights. 

Featured Articles and Offers

Amazon Stands Tall: New Highs Are in Sight

Amazon Stands Tall: New Highs Are in Sight

Amazon had another solid quarter, with growth in all segments contributing.

Search Headlines: