#Beem stock price prediction plus#

Very few companies we have analyzed have been so kind as to provide unit-level cost economics, but BEEM does.

“All the time our customers ask us, ‘How do you make money doing this?’ The answer is simple – volume.” These factors lead us to assign a $12.49 price target to BEEM’s stock, down ~82% from current levels. In this report, we explain our views on BEEM’s unprofitable products, its falling revenue outlook, disappearing forward-looking disclosure, excessive executive compensation, and troubling management histories.

We also believe that management quality remains unchanged from the Noble days. We believe that BEEM’s rocket ship stock performance is the result of investor optimism about the renewables space magnified by price insensitive ETF purchases of BEEM stock, but that this excessive excitement for BEEM is largely unwarranted.

#Beem stock price prediction plus#

The reverse merger history plus the 1460% stock price performance over the last year caught our eye. The EV ARC line includes a frame, panels, and battery to which a purchaser can connect an EV charger of their choice:īEEM is the product of a 2010 reverse merger into a shell company known as Casita Enterprises. BEEM’s primary product is the Electric Vehicle Autonomous Renewable Charger (EV ARC), which is effectively a carport with solar panels mounted on top. A disappointing margin profile and a bleak revenue outlook paints an impossible path to profitability – we assign BEEM a target of $12.49, down 82% from the last close.īeam Global ( BEEM), formerly Envision Solar, primarily manufactures and sells solar-powered EV charging infrastructure.Median EV/Sales for the peer group comes in at 3.9x, compared to 27x for BEEM BEEM trades (undeservedly, in our view) at a massive premium to successful, mature, solar companies with real revenues like Enphase, SolarEdge, and First Solar.The CFO was a senior finance executive at a company that had to restate its financials.Between 20, the CEO + CFO compensation accounted for about 1/3 of cumulative revenues The management team is unusually well compensated.If you can’t make it…just stop disclosing it…management stopped disclosing backlog (forward indicator of revenue) after it fell over 50% in the two years leading to 2Q20 – this affirms our view that topline growth is challenged.Not only that, but the EV ARC may never be profitable, with gross margins ranging from -4% to +8% (solar company median is almost 20%), and unlikely to ever be profitable given its revenue outlook.We believe and show that EV ARC’s impracticality and performance is the primary cause of falling orders – imagine our disbelief when we found out that EV ARC costs almost 100x more than some residential chargers but charges at a slower rate!.Gov’t entities have reduced their Beam spend – for example, once mission critical to BEEM’s revenues, NYC has not placed a new BEEM order since 2018! We dug up budgetary filings that suggest this trend will continue.We believe two recent business press releases that were part of driving the stock recent parabolic move overstate reality – one gives us DÉJÀ VU as we believe BEEM recycled a 2017 item for one of these announcements.Beam Global ( NASDAQ: BEEM), formerly Envision Solar, sells the EV ARC, a solar-powered EV charging station whose main customers have been government entities, accounting for the majority of revenues.All content of the Dow Jones branded indices © S&P Dow Jones Indices LLC 2019 and/or its affiliates. Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC. Dow Jones: The Dow Jones branded indices are proprietary to and are calculated, distributed and marketed by DJI Opco, a subsidiary of S&P Dow Jones Indices LLC and have been licensed for use to S&P Opco, LLC and CNN. Chicago Mercantile Association: Certain market data is the property of Chicago Mercantile Exchange Inc. Factset: FactSet Research Systems Inc.2019. Market indices are shown in real time, except for the DJIA, which is delayed by two minutes.