Top EV Picks: 3 Stocks Steering the Course to a Fossil-Free Future

Stocks to buy

EVs are the future of transportation. As the world becomes greener due to shifting consumer preferences or government legislation, EVs will become more popular and important in the car industry. Now, around 20% of cars sold in the U.S. are EVs. EVs were valued at $50 billion in 2022 and are expected to grow at a compounding annual growth rate of 15.5% from 2023 to 2032. Here are three top EV stocks.

Rivian (RIVN)

Source: Tada Images /

Leader in the EV space, Rivian (NASDAQ: RIVN), is one of the largest American EV companies and has the potential to be one of the biggest EV companies in the world. Now, it’s trading at a discount, making it an even more attractive buy. The focus is on expanding their products and working on the highly anticipated R2 model. Rivian is also building a $5 billion production facility in Georgia. Increasing productive capacities to be fierce rivals with other EV companies represents the company’s growth efforts.

Rivian also has a great financial standing. First, its cash reserve is massive. With over $10 billion in cash, Rivian is relatively safe from bankruptcy while having the resources and time to reach economies of scale, lower costs and potentially become profitable. Its revenue has grown over 100% in just the past year. It is not due to pay most of the $4 billion in debt now. Thus, it is less affected by the high interest rates and has a higher chance of survival.  

Li Auto (LI)

Source: Robert Way /

Li Auto (NASDAQ:LI) is a Chinese leader in the EV space with a unique offering. The company is focused on SUVs, which tackle a massive problem that many EVs share: a lack of range. Their range extenders make the car more practical and accessible to consumers who may be far away from eclectic chargers. The company is showing strong signs of growth through various initiatives. It plans to invest more than 6 billion yuan to build 5000 charging stations, opening a new revenue line. They are also constantly creating new models, most recently launching the Li L6

Li Auto’s financials support the buy thesis. Despite the last quarter not being ideal, its overall growth has been tremendous. Year over Year, from the second quarter of 2023, it showed 270% growth on the top line, corresponding to an impressive $34.7B in revenue. The company is also consistently profitable, which minimizes risk of bankruptcy and supports the company’s expansion. 

General Motors (GM)

Source: Jonathan Weiss /

General Motors (NYSE:GM) is a massive car manufacturer that has invested heavily in its EV segment. The company delivered over 75,000 EVs in 2023 and expects to produce between 200,000 and 300,000 EVs in 2024 alone. Additionally, the company will invest $35 billion in EV cars through 2024, an enormous amount that will give General Motors a large edge over many smaller EV companies.   

GM is one of the top EV stocks to buy based on its strong financial standing. The company sold a staggering 6.2 million cars in 2023, which meant nearly $140 billion in revenue. Even though car manufacturing costs are high, the company still has a margin of about 7%, giving it a large amount of funds to invest in R&D for its EV segment. Additionally, the company has a cash pile of over $25 billion, providing it with safety and flexibility. 

On the date of publication, Tomas Levani did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Tomas is a self-taught investor with a passion for ESG investing. He has managed the portfolio of a small investment fund, interned at a Fortune 500 investment company, and started his own research firm. Through his freelance writing, he now aims to find favorable investments in companies with a mission of bettering the world.

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