UBS Affirms ‘Buy’ Rating on Evgo (EVGO) Amid Profitability Prospects

Evgo, Inc. (NASDAQ:EVGO) is one of the best green energy penny stocks to buy right now. On June 17, UBS reiterated a ‘Buy’ rating and a $5 price target. UBS views the company as its preferred electric vehicle charging investment as it is poised to benefit from various catalysts.

UBS Affirms ‘Buy’ Rating on Evgo (EVGO) Amid Profitability Prospects

A row of charging stations glowing with the power of the sun ready for public use.

For starters, the research firm has echoed the long-term impact of additional Department of Energy loan disbursements. It expects the disbursements to provide Evgo with extra capital. In addition, UBS expects the company to achieve its first-ever positive adjusted EBITDA quarter in Q2, marking an essential step toward profitability.

Consequently, UBS expects Evgo to generate adjusted EBITDA of $3.5 million in 2025, $36.4 million in 2026, and $61.8 million in 2027. In the first quarter, the company generated $75.3 million in revenues, better than the $71.4 million that analysts expected.

Evgo, Inc. (NASDAQ:EVGO) is a leading provider of fast charging stations for electric cars, making it easier for people to own and use EVs. It builds and operates a public fast-charging network for electric vehicles.

While we acknowledge the potential of EVGO to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than EVGO and that has 100x upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.