ChargePoint Faces Investor Turmoil After Reverse Stock Split—What’s Next for $CHPT?
Electric vehicle charging network operator ChargePoint Holdings Inc. (NYSE: CHPT) is facing intense scrutiny from investors after executing a 1-for-20 reverse stock split on July 25, 2025. The move was intended to maintain the company’s listing on the New York Stock Exchange after its stock had fallen below the $1.00 mark, but instead of stabilizing investor confidence, it appears to have sparked a new wave of uncertainty.
Since the reverse split, $CHPT stock has continued to see high volatility, with many retail traders and institutional investors debating the company’s next steps. With shares now trading above $2.00 post-split, the question remains whether this price action will hold or if further declines are imminent.
Much of the concern revolves around the potential for a dilutive stock offering. Shareholders speculate that the reverse split was a strategic move to pave the way for raising additional capital, especially considering ChargePoint’s cash burn rate and slowing revenue growth in the competitive EV sector. Despite being a major player in the EV infrastructure space, the company has struggled to meet Wall Street expectations in recent quarters.
Adding fuel to the fire is the fact that short interest in $CHPT remains elevated. Data shows short interest above 20%, leading to worries that bearish pressure could intensify if new shares are issued or if the broader market turns risk-off. Retail sentiment on platforms like Reddit and StockTwits has been largely negative, with users expressing frustration at the reverse split and its timing amid a weak EV market backdrop.
Some analysts still see long-term potential in ChargePoint, citing its strong brand recognition, broad charging network, and strategic partnerships with automakers. However, bulls face an uphill battle in convincing the market that the company can turn around its declining financials without substantial dilution.
For now, traders and investors are watching closely for any announcements regarding secondary offerings, earnings updates, or operational shifts. The future of $CHPT will largely depend on whether management can navigate this turbulent period without eroding shareholder value further.
