To initiate, electric vehicle (EV) stocks have been gaining traction in recent years as the push for clean energy and sustainable transportation continues to grow. As a result, retail investors are increasingly looking to invest in EV manufacturers. EV stocks can be a smart move for investors as the global demand for electric vehicles is expected to continue to rise.
According to a report by BloombergNEF, electric cars are projected to make up 54% of new light-duty car sales by 2040. This shift in the market presents a significant opportunity for EV manufacturers, and subsequently, for investors in their stocks. Additionally, governments around the world are also taking steps to phase out internal combustion engines and promote electric vehicles, which further supports the growth of the EV industry.
The shift to electric vehicles can help reduce dependence on fossil fuels and decrease carbon emissions, which aligns with the goals of many socially responsible investors. Overall, EV stocks can provide a strong potential for returns, as well as align with investors’ values. Bearing that in mind, check out these two EV stocks in the stock market right now.
EV Stocks To Buy [Or Avoid] Now
Tesla (TSLA Stock)
To begin, Tesla Inc. (TSLA) is an American multinational corporation that specializes in electric vehicles, energy storage, and solar panel manufacturing based on integrated energy systems. Tesla designs and manufactures electric cars, battery energy storage from home to grid-scale, and, solar products.
On Wednesday after the market close, Tesla reported its Q4 and full-year 2022 financial results. Diving in, Tesla reported a beat with 4th quarter 2022 earnings of $1.19 per share on revenue of $24.3 billion. This beat the consensus estimates of $1.13 per share on revenue of $26.2 billion. Additionally, the company’s revenue saw a 37.2% increase compared to the same quarter in the previous year.
Additionally, shares of TSLA stock have bounced 33.61% since the start of 2023. Though, over the last year of trading TSLA stock is down 53.78%. Meanwhile, as of Wednesday’s closing bell, Tesla stock closed the day at $144.43 per share.
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Ford Motor Company (F Stock)
Next, Ford Motor Company (F) is an American multinational automaker that has been in business for over 100 years. The company has been increasingly investing in electric and hybrid vehicles and has announced plans to have all-electric vehicles make up the majority of its sales by 2030.
Earlier this month, Ford announced it has set a new record for sales of electric vehicles, selling 61,575 units in the year and seeing a 126% increase in sales compared to the previous year. Additionally, Ford’s EV sales in December saw a 223% increase. This makes Ford the second-largest EV automaker in America.
Over the last year of trading, shares of Ford stock have dropped by 35.76%. Though, since the beginning of January, F stock has started to recover by 9.50%. As of Wednesday’s closing bell, shares of Ford stock are trading at $12.79 a share.