Earnings Preview: Blink

Wednesday afternoon’s and Thursday morning’s noteworthy earnings reports were included in our Tuesday preview covering scheduled reports from homebuilder KB Home, Olive Garden restaurants owner Darden and cruise line operator Carnival.

There’s just one report due Thursday afternoon that is likely to garner much general interest, and that is from Blink Charging Co. (NASDAQ: BLNK).

The stock posted a gain of some 2,200% in 2020, and the party continued until late February when the shares dropped below their level on January 2. So far in 2021, shares trade down nearly 15%. Blink designs, manufactures, owns and operates charging stations for electric vehicles.

At the end of the third quarter, the company owned or operated 15,716 charging stations in the United States. In August of last year, short seller Culper Research claimed the company was wildly overstating the size of its network. The effect was not negligible, but neither was it permanent. The stock dropped to below $6 a share before rising by late January to more than $64 a share.

[nativounit]

For the company’s 2020 fourth quarter, analysts are expecting a loss per share of $0.12 on revenue of $1.58 million. The quarterly loss is a penny worse than in the same quarter a year ago, but revenue is up 125%. For the full 2020 fiscal year, the loss per share is estimated to total $0.47, 10 cents per share worse than 2019. Revenue is forecast up 95% for the year to $5.38 million.

The stock currently trades at around $36 a share, against a consensus (three analysts) price target of $42.50, indicating a potential upside in the stock price of 18%. Measured against the high target of $67 per share, the potential upside is almost 84%. Blink is not expected to post a profit in either of the next two fiscal years.

The stock’s 52-week range is $1.46 to $64.50. Blink’s average daily trading volume for the past 30 days is about 10.6 million shares.

[recirclink id=855406][wallst_email_signup]