ChargePoint to implement 1-for-20 reverse stock split as NYSE compliance measure

ChargePoint Holdings, Inc. (NYSE:CHPT) announced Wednesday that it will implement a 1-for-20 reverse stock split of its common stock, following approval by shareholders at the company’s annual meeting this week. The split is scheduled to become effective at 12:01 a.m. Eastern Time on July 28, 2025, with trading on a split-adjusted basis beginning at market open the same day, according to a press release statement and SEC filing.

The company’s Nominating and Corporate Governance Committee approved the split ratio after shareholders authorized a reverse stock split at a ratio between 1-for-2 and 1-for-30. The reverse split is intended to increase the market price per share and help ChargePoint regain compliance with the New York Stock Exchange’s minimum price requirement, which mandates an average closing price above $1.00 per share over a consecutive 30 trading-day period. ChargePoint previously received notice from the NYSE on February 19, 2025, indicating it was out of compliance with this rule.

Upon effectiveness, every 20 issued and outstanding shares of ChargePoint’s common stock will be consolidated into one share. The number of outstanding shares will decrease from approximately 467.1 million to about 23.4 million. Proportional adjustments will also be made to outstanding equity awards, warrants, and convertible notes. Fractional shares will not be issued, and shareholders entitled to a fraction will receive a cash payment based on the closing price prior to the effective time.

The company’s trading symbol (CHPT) will remain unchanged, though the CUSIP number for the common stock will be updated. ChargePoint stated that the reverse stock split will not affect any rights or preferences of its common stock. Shareholders holding shares through brokers will have their positions automatically adjusted, while registered shareholders will receive further information from the transfer agent.

In other business, ChargePoint shareholders elected directors, ratified the selection of its independent auditor, approved executive compensation on an advisory basis, and adopted proposals related to the reverse stock split and potential adjournment of the annual meeting. The company also announced the upcoming resignation of Chief Legal Officer Rebecca Chavez, effective July 25, 2025.

All information is based on a press release statement and the company’s SEC filing.

In other recent news, ChargePoint Holdings Inc. reported its first-quarter fiscal year 2026 results, revealing a revenue of $98 million, which marked a 9% decrease compared to the previous year. The company also posted a non-GAAP EBITDA loss of $22.8 million, both figures falling short of market expectations. ChargePoint's guidance for the second quarter predicts revenue between $90 million and $100 million, which is below Wall Street estimates of $108 million. Despite these challenges, ChargePoint aims to achieve positive adjusted EBITDA within the fiscal year. Meanwhile, UBS maintained a Neutral rating on ChargePoint, citing concerns over the company's cash burn and ability to reduce costs. Oppenheimer also reiterated a Perform rating, highlighting ChargePoint's strategic partnership with Eaton (NYSE:ETN) as a potential growth driver. Goldman Sachs maintained a Sell rating, expressing concerns about slower EV growth and macroeconomic trends. Investors are closely watching these developments as they assess ChargePoint's operational efficiency and long-term viability.

Get The News You Want

Read market moving news with a personalized feed of stocks you care about.

Get The App

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.