RALEIGH, N.C. - Vontier Corporation (NYSE: VNT), a global provider of mobility ecosystem technologies, has announced the establishment of a U.S. headquarters for its portfolio company Driivz in Raleigh, North Carolina. This strategic move aims to enhance the support for the burgeoning U.S. electric vehicle (EV) charging infrastructure and facilitate the company's growth in North America.
Driivz, recognized as a leading software supplier for EV charging operations, manages a network of 100,000 public chargers worldwide. The company's platform offers a suite of services, including energy management, billing, and driver self-service tools, and serves millions of EV drivers globally. The software is utilized by prominent industry entities such as EVgo (NASDAQ:EVGO), Shell (LON:SHEL), and Volvo (OTC:VLVLY) Group.
The new headquarters will be led by the recently appointed Chief Product Officer Oren Halevi, whose expertise is expected to further Driivz's expansion in North America. Andrew Bennett, President and CEO of EVolve™, Vontier's e-mobility portfolio that includes Driivz, emphasized the importance of instant insight and end-to-end control for charging networks and service providers, particularly in the context of the U.S. energy transition.
The announcement coincides with the third year of the National Electric Vehicle Infrastructure (NEVI) Program, which is set to invest $5 billion in federal funding to create a network of high-speed EV chargers across major U.S. roads and highways. Driivz's commitment to investing resources to support electrification aligns with this national initiative.
Halevi highlighted the opportunity to leverage Driivz's international experience to enhance the U.S. public charging infrastructure. The company's presence in Raleigh is expected to serve as a hub for sharing knowledge and delivering solutions to the U.S. market as it continues to embrace e-mobility.
This expansion by Driivz is part of Vontier's broader mission to enable smart, safe, and sustainable mobility solutions across the globe. The information regarding Driivz's U.S. headquarters and its role in the EV charging sector is based on a press release statement.
In other recent news, Vontier Corporation has seen a downgrade from Argus, shifting the stock rating from Buy to Hold due to a softened demand outlook. Amidst this, Vontier is making strategic moves, planning to invest over $500 million in sustainable mobility solutions over the next five years, while also initiating a $100 million accelerated share repurchase plan. Despite these efforts, Argus suggests the current share price reflects the near-term outlook for the company.
Vontier also announced a $100 million stock repurchase as part of a broader $500 million share repurchase initiative, showing confidence in its strategic direction and commitment to shareholder value. This move is expected to be finalized in the third quarter of 2024, leaving an anticipated $190 million in its current repurchase authorization.
In the recent Q2 results for 2024, Vontier reported a slight increase in core order growth and improved gross margins, despite facing macroeconomic uncertainty and project delays. The company's business simplification program has already led to $12 million in savings this year. For the upcoming quarter, Vontier forecasts core growth between -2% and +2%, with earnings per share expected to range from $0.67 to $0.71. Looking ahead, Vontier anticipates annual revenue between $2.9 billion and $3 billion and earnings per share between $2.80 and $3.00.
InvestingPro Insights
Vontier Corporation (NYSE: VNT) has been making strategic moves to solidify its position in the electric vehicle (EV) infrastructure market, a sector that's gaining momentum amid global sustainability efforts. The establishment of Driivz's U.S. headquarters in Raleigh is a testament to Vontier's commitment to expanding its reach in the EV charging space. As investors consider the potential of Vontier, several key metrics and insights from InvestingPro provide a deeper understanding of the company's financial health and market position.
InvestingPro data shows that Vontier is currently trading at a P/E ratio of 13.33, which is considered low relative to its near-term earnings growth. This could indicate that the stock is undervalued, presenting a potential opportunity for investors. Additionally, analysts predict that the company will be profitable this year, supported by a solid track record of profitability over the last twelve months. These financial indicators suggest that Vontier is on a stable footing as it expands its operations.
While some analysts have revised their earnings downwards for the upcoming period, Vontier's revenue growth has seen some fluctuations with a -6.06% change over the last twelve months as of Q2 2024. Despite this, the company maintains a strong gross profit margin of 48.15%, underlining its ability to manage costs effectively and retain a significant portion of revenue as profit.
For those looking to explore further, InvestingPro offers additional tips on Vontier, which can be accessed at https://www.investing.com/pro/VNT. With these insights and data points, investors can make more informed decisions regarding Vontier's role in the burgeoning EV market and its potential for growth.
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