Blink Charging Co. (BLNK) shares rose more than 15% during Tuesday's session after the company signed a deal with Cushman & Wakefield plc (CWK), a real estate services firm, to market and potentially deploy Blink charging stations throughout its client base across the United States. The move follows similar deals and strategic partnerships aimed at expanding the presence of Blink Charging across the country and around the world.
The company believes that its IQ 200 units are the fastest Level 2 AC charging stations on the market with a maximum output of 80 amps to deliver up to 65 miles of charge in just an hour. Investors are betting that the company's technological advantage and ambitious expansion plans could justify its growing market capitalization given that it generated just $1.3 million in revenue last quarter at a GAAP loss of about 11 cent per share.
The move also follows similar bullish movements across the electric vehicle space over the past few months. Notably, Tesla, Inc. (TSLA) shares are trading up more than 530% year to date after the company reported strong revenue and a profit during the second quarter. The EV manufacturer's four quarters of profitability could lead to inclusion in the S&P 500 Index.
From a technical standpoint, Blink Charging Co. stock moved higher to retest its prior highs of $14.58. The relative strength index (RSI) remains oversold with a reading of 72.21, but the moving average convergence divergence (MACD) remains in a bullish uptrend. These indicators suggest that the stock could see some near-term consolidation before continuing its move higher, particularly absent any significant catalysts over the coming sessions.
Traders should watch for consolidation between its highs of $14.58 and reaction highs of around $10.00 over the coming sessions. The volume by price chart shows that most trading occurred at around $7.50, with another wave occurring near $11.30 over the past month. These price levels could become key areas of support if the stock moves lower. If the stock breaks out higher, traders could see a move toward fresh highs.
The author holds no position in the stock(s) mentioned except through passively managed index funds.