Hyperdrive
Biden’s EV Plan Throws Fuel On Already Hot Car-Charging Sector
- Infrastructure plan would fund expansion of EV stations
- But charging company stock prices far outstrip sales
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President Joe Biden’s plan to build out electric-vehicle infrastructure has triggered a fresh rally in a sector that’s already soared to unprecedented heights as investors pile into anything clean energy-related.
Biden on Wednesday proposed spending $174 billion to promote EVs and increase the number of charging stations by 12-fold. It was the kind of big-government push charging companies and their investors have been yearning for. Most companies in the sector have yet to turn an annual profit and are counting on massive EV adoption to meet future financial forecasts. Despite boasting billion-dollar valuations, some of them record annual revenues less than $10 million per year.