ChargePoint Holdings Inc. (CHPT) saw its stock plummet 5.19% in intraday trading on Friday, following reports that Donald Trump's transition team is considering canceling the United States Postal Service's contracts to electrify its delivery fleet, which could impact ChargePoint's business.
According to sources familiar with the plans, Trump's team is reviewing options to unwind the USPS's multi-billion dollar contracts, including with Oshkosh Corp and Ford, for tens of thousands of battery-driven delivery trucks and charging stations. This move is in line with Trump's campaign promises to roll back President Joe Biden's efforts to decarbonize U.S. transportation to combat climate change.
ChargePoint is one of the companies contracted to supply electric vehicle charging infrastructure to the USPS as part of the agency's plan to build one of the largest electric vehicle fleets in the nation by 2028. The potential cancellation of these contracts could significantly impact ChargePoint's revenue and growth prospects, leading to investor concerns and the stock's decline.
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