After an explosive IPO, ALLG stock raced 66% on its first trading day while closing at over $9 a share. Then within a week, excitement pushed Allego shares another 155% higher, reaching an all-time high over $23 a share.

Allego N.V (NYSE: ALLG) is a leading European EV Charging network that went public two weeks ago, merging with Spartan Acquisition Corp. The electric vehicle (EV) momentum is building again as soaring gas prices create higher demand.

As automakers continue pouring billions into the industry, 2022 is shaping up to be another big year for EVs. In fact, EV makers like Tesla (Nasdaq: TSLA) continue breaking delivery records, with the company delivering 87% more cars in 2021.

Since more EVs are on the road, charging networks play a pivotal role in the transition. In the same way, cars need gas stations, EV ports are necessary for the industry to thrive.

With this in mind, is it time to buy a European market leader? Keep reading to learn more about the company and if buying ALLG stock is right for you.

No. 1 Allego Is a Leading European EV Charging Provider

Allego is already leading one of the biggest EV markets globally, with over 28,000 charging ports across 13,400 sites. On top of this, Allego’s chargers span 14 European countries with plans to expand into more.

But the company’s biggest advantage lies in its cloud software platforms. So far, Allego has two cloud platforms.

• Allamo: Selects premium charging sites to add.
• Allego EV Cloud: Provides essential uptime and payment optimization.

Not only does Allego make it easy for EV owners to find charging ports, but they also discover the best locations. For this reason, the EV maker can keep costs low while expanding profits. At the same time, it enables high-margin contracts from businesses and other organizations to supply charging solutions.

And lastly, Allego has solutions for every need. They provide high power, fast and regular charging stations for all user needs. Most importantly, they work with any electric vehicles, increasing its market.

No. 2 Europe Is One of the Biggest EV Markets

Although China is now outpacing Europe as the global EV market leader, the E.U. is still not far behind. With this in mind, EV sales in Europe reached a record 2.27 million in 2021, up 66% since 2020.

Although this may be true, these new plug-ins will need a place to charge. In fact, new research shows the EV charging market is expected to grow significantly in Europe over the next few years. According to the report, the market size will grow from $5B in 2020 to over $147B in 2030.

With over 2,800% growth coming, ALLG stock looks to continue its dominance. Allego continues partnering with top brands and organizations globally despite competition entering the market.

No. 3 ALLG Stock: Big Partnerships

Allego’s superior tech and premium services are helping the firm build a diverse portfolio of partners and clients. And most important, the company is winning government support programs across the E.U. to help promote EV adoption.

For example, take a look at a few of these partnerships.

• Fleets & Corporations: BP, Shell, Uber, LeasePlan Corp.
• Original Equipment Mfg. (OEM): BMW, Hyundai, Volkswagen, Tesla, Nissan, Kia.
• Retail & Entertainment: McDonald’s, REWE (2nd largest food retailer in Germany), Casino.
• Government & Municipal: The City of London, City of Amsterdam & several other European cities.

As you can see, Allego is in a strong position with partners across several industries and governments. The company provides chargers for hotels, gas stations, dealers and more. By doing so, the company increases brand awareness while positioning itself for future contracts.

No. 4 Growing Need for EV Charging

Despite oil prices slipping today, they are still significantly higher than last year, with oil settling above $100 per barrel. The higher cost is pressuring economies around the world as inflation trends higher.

However, Europe is particularly tight as they rely on Russia for close to 40% of natural gas imports. That said, E.U. leaders are committing to phasing out oil imports from Russia.

Part of the plan to end ties is through renewable energy investments and an expanded EV network. In fact, early reports show Europe needs 65 million EV chargers by 2035 to handle the growing EVs on the road.

Though this was before tension escalated in Ukraine, the number gives you an idea of how critical the infrastructure is.

No. 5 ALLG Stock: Strong Momentum Continues

Allego’s recurring revenue model drives profits while the firm’s cloud platform saves on costs. As a result, Allego’s business is multiplying.

Check out the highlights from the past two months (Jan & Feb).

• Total Charging Sessions up 83% YOY to over 1.3B.
• Utilization Rate (average charging time) up to 7.6% from 4.3% last year.
• Total Unique Users grew 63% YOY to 730K.
• The Recurring Rate per month remains around 80%.

And finally, the company doubled its monthly average to 10.25GWh delivered per month of clean energy. Looking at the company’s incredible growth, it’s no wonder there is so much interest in ALLG stock.

ALLG Stock Forecast: Is Now the Time to Buy?

You cannot deny the success Allego is achieving thus far. The company is expanding to great lengths while positioning itself for future success.

At the same time, ALLG stock is back on its way to ATHs, up over 10% today. The growing need for electric cars is pushing investors back into the EV stocks after taking a step back this year.

Though EV demand is growing everywhere, Europe, in particular, has a growing need for them. As Russia threatens Europe’s gas supply again, nations are looking for solutions. And so far, the EV industry looks like one of the best long-term bets.

With this in mind, I would not be surprised to see Allego continue growing its presence while partnering with major brands and governments. In the long run, I like the growth potential for ALLG stock. But be prepared for volatility as the company continues investing in the firm to fuel growth.