ChargePoint closes up 75% as a Q2 beat cuts its loss and lifts gross margin to a record 38%

CHPT closed the September 3 regular session at $9.08, up $3.89 or 74.95% from a $5.19 prior close, after fiscal second-quarter 2027 results landed the previous evening. Revenue was $116.1 million, up 18% from $98.6 million and ahead of a $105.2 million estimate, and the non-GAAP loss narrowed to $0.35 per share against $0.85 expected. Volume ran at 43.83 million shares against a 3.33 million average, about 13 times normal. The immediate after-hours reaction to the release itself, on September 2, was a much smaller gain of 18% to $6.12; the bulk of the move came in the next full session as the numbers were digested.

The margin line is what changed the story. Non-GAAP gross margin reached a record 38%, up 600 basis points sequentially and 500 basis points year over year, against 33% a year earlier, though management put the normalized figure nearer 35% excluding tariff refunds. GAAP gross margin was 36% against 31%. Adjusted EBITDA loss narrowed to $4.8 million from $22.1 million, a 78% improvement, and GAAP net loss fell 46% to $35.6 million from $66.2 million. Networked Charging Systems revenue grew 25% to $62.9 million and subscriptions grew 10% to $43.7 million.

Chief executive Rick Wilmer told CNBC the surge "is the beginning of the momentum," adding that "the growth is starting to accelerate" and would be "driven substantially by the new products and technology we're putting into the market". He pointed to net losses falling from $125.3 million three years ago to $35.6 million in the latest quarter as evidence the cost structure has been rebuilt.

Two things temper the enthusiasm. Third-quarter revenue guidance of $105 million to $115 million brackets the quarter just reported rather than extending its growth, with normalized gross margin guided to about 35% and operating expense held under $50 million. And Roth Capital cut its price target to $11 from $15 while keeping a Neutral rating, meaning at least one covering analyst reduced its target through the same print that doubled the stock. ChargePoint's market capitalization is still only about $245 million and it holds $95.7 million in cash. The 1-for-20 reverse split effective July 2025 leaves roughly 26.3 million weighted average shares outstanding, which is why per-share losses look large relative to the dollar amounts. Watch whether the third-quarter print exceeds its own guide.

Related Stocks

• CHPT