The electric vehicle (EV) industry remains at the forefront of the global shift towards a greener tomorrow. As nations rally to slash their carbon emissions, a surge in the demand for EVs is inevitable, to say the least. Hence, the idea of EV stocks to buy will always be relevant for savvy investors looking to build game-changing wealth.
The EV market is charging ahead at full throttle. In 2022 alone, EV sales zoomed past the 10 million mark. Moreover, in just three years, the EV share in overall car sales revved up from a modest 4% in 2020 to an impressive 14% in 2022. The sector is poised for an annual growth rate of 10% from 2023 to 2028. Sales are projected to reach a staggering $906.7 billion by 2028, according to Statista. For those scouting the best EV stocks to buy, it’s crucial to buckle up and make calculated moves in this electrifying race.
Tesla (TSLA)
In a startling turn of events, Tesla (NASDAQ:TSLA) has witnessed more than a $200 billion slash in its market cap in just the past month. The sudden exit of CFO Zach Kirkhorn raised eyebrows, leaving investors to ponder over the future trajectory of the electric car giant. Additionally, with recent price cuts and unforeseen delays in new product launches, analysts are now questioning Tesla’s financial strategy.
However, amidst the turmoil, Elon Musk remains undeterred. The CEO’s recent remarks underscore Tesla’s unwavering commitment to playing a leading role in autonomy. Tesla is boasting a massive training data set strengthened by powerhouse computing capabilities such as Dojo. The company is firmly positioned at the frontline of innovation. Moreover, whispers around the tech corridors suggest potential licensing deals for Tesla’s powerful Full Self-Driving technology.
The market’s ebb and flow may have cast a shadow over Tesla’s recent performance. However, it’s prudent to see the bigger picture with TSLA stock and invest in it at current levels.
BYD (BYDDF)
BYD (OTCMKTS:BYDDF), often overshadowed by industry giant Tesla, continues to make waves that are difficult to ignore. Given its recent performances, it’s catching up to Tesla and might even surpass the electric behemoth in due time.
It has high-performing, durable batteries that have carved a niche in demand. Coupled with its impressive delivery of more than 700,000 new energy vehicles in the second quarter, BYD is on a trajectory of its own. The expansion is palpable, with new manufacturing plants gearing up in China and an anticipated factory in Thailand by 2024.
Yet, what truly solidifies BYD’s prospects is Warren Buffett’s show of confidence. His firm, Berkshire Hathaway (NYSE:BRK.A / NYSE:BRK.B), holds a nearly 10% stake in BYD. Moreover, the company’s scorching pace of growth is represented by its sales of roughly $1.6 billion for the first half of 2023, a colossal tripling from last year.
Lithium Americas (LAC)
Lithium Americas (NYSE:LAC) witnessed a significant retracement of more than 35% throughout the past year, causing quite a stir among market watchers. However, for those with a keen eye for long-term growth prospects, this dip could potentially be a golden ticket. This is especially true with the stock poised to become a multi-bagger investment within the next half-decade.
Supporting this bullish perspective is the company’s crown jewel in North America; the Thacker Pass project. It boasts an eye-catching after-tax net present value of $5.7 billion with a 40-year mine life pointing to robust financial longevity. With projected average annual EBITDA hovering around the $1.1 billion mark, it’s evident that this asset could be a major money-spinner once the production gears start turning.
The recent strategic decision to separate the company into two distinct entities adds another layer of intrigue to Lithium Americas’ narrative. The creation of Lithium Argentina is set to hone in on Argentinian assets. This potentially unlocks significant value. Investors and analysts should keep tabs on this development as it could propel the stock to new heights. This is easily one of the top EV stocks to buy.
On the date of publication, Muslim Farooque 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 InvestorPlace.com Publishing Guidelines