Stifel downgraded EVgo to Hold from Buy and cut its price target to $2.50 from $6.00, citing a go-private acquisition bid and slower electric vehicle adoption. The downgrade reflects analyst Stephen Gengaro's assessment of the LS Power acquisition proposal, weaker-than-expected U.S. EV adoption, and the firm's discounted cash flow model.
EVgo reported third-quarter 2026 revenue of $91.42 million, missing analyst expectations of $95.09 million. Adjusted EBITDA came in at negative $3.5 million, slightly better than Stifel's forecast. The company remains unprofitable with negative $34.3 million EBITDA over the last twelve months.
LS Power, which owns approximately 178.7 million shares or 56.8% voting power, made a $2.00 per share go-private bid for EVgo. Management cut 2026 guidance citing weaker throughput and lower charging stall deployments.
RBC Capital also downgraded EVgo to Sector Perform from Outperform on slower deployment pace, raising its price target to $2.00 from $1.75. Roth/MKM downgraded the stock to Neutral from Buy, citing the LS Power take-private offer and insufficient cost reductions.
EVgo's core charging network revenue rose 29% year over year, marking the 19th consecutive quarter of double-digit growth. Network utilization was 20%, down from 23% in the third quarter of 2025.