Why Blink Charging (BLNK) Stock Is Volatile

President Donald Trump's repeal of President Joe Biden's executive order targeting 50% electric vehicle (EV) adoption by 2030 sent shares of Blink Charging Co BLNK sliding 5.4% to $1.39 Tuesday. The stock is otherwise flat Wednesday pre-market.

The policy reversal raises concerns about reduced federal EV subsidies, relaxed emissions standards and limits on state-level emissions waivers, all of which could slow EV adoption in the U.S.

Read Also: ChargePoint Outpaces Tesla In EV Network Market Share, But JPMorgan Stays Cautious

What Else: As a key player in EV charging infrastructure, Blink faces significant headwinds if EV sales falter. A reduction in federal tax credits could discourage EV purchases, directly impacting demand for charging networks.

Lower consumer interest in EVs might also delay infrastructure expansion and revenue growth for companies like Blink.

While some states may counter federal rollbacks with pro-EV initiatives, uncertainty looms over Blink's near-term outlook. Increased volatility for EV-dependent stocks may happen in the near-term but global electrification trends could serve as a potential long-term tailwind.

Read Also: Trump’s Plan To End $7,500 EV Tax Credits Could Be ‘Devastating’ For Telsa Rivals, Poll Says Could Be Bullish For Elon Musk’s Company

Should I Sell My BLNK Stock?

Whether to sell or hold a stock largely depends on an investor's strategy and risk tolerance. Swing traders may sell an outperforming stock to lock in a capital gain, while long-term investors might ride out the turbulence in anticipation of further share price growth.

Similarly, traders willing to minimize losses may sell a stock that falls a certain percentage, while long-term investors may see this as an opportunity to buy more shares at a discounted price.

Shares of Blink Charging have lost 45.06% year to date. This compares to the average annual return of -59.26%, meaning the stock has outperformed its historical averages. Investors can compare a stock's movement to its historical performance to gauge whether this is a normal movement or a potential trading opportunity.

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BLNK has a 52-week high of $3.75 and a 52-week low of $1.31.