Tesla (TSLA) has been successfully emptying out the pockets of short sellers over the past few weeks. While the run towards $1,000 has caused its market cap to balloon to over $150 billion - enough to swallow several established vehicle manufacturers at once - money is starting to drift downwards to other electric vehicle plays. One of those plays is Blink Charging Co. (NASDAQ:BLNK) which rose 20% to close at $2.49 on Tuesday. This makes sense as Blink has one of the largest networks of charging stations for electric vehicles, with a total of 14,719 units deployed in strategic locations across the United States. You can't drive electric vehicles on the road for long periods of time without having some place to charge them along the way.
Tying Blink to Tesla is a popular business in the speculative world of microcaps. In 2018, there was a suggestion in the financial media that it could become Tesla's next acquisition target. In August of 2018, it spiked on rumors that a partnership with Tesla was coming. Blink hasn't merely survived on innuendo alone, as the stock experienced a spike on heavy volume in May 2018 after announcing a deal to deploy a handful of units at Whole Foods locations. Since then, all of the hype around Blink's legitimate accomplishments and rumors have dissipated with the stock settling in the mid-$2s. As Tesla spikes to the moon, the market is bidding up Blink on hopes Tesla's run will buoy smaller players tied to the EV industry.
With Blink, you get what you pay for
Blink trades at around a $65 million market cap as of Tuesday's close. That is just 0.04% of Tesla's market cap. Blink being so cheap is a function of its quality. The company recorded just $2 million in revenue for
