Electric car stocks are red hot so far as more governments pass mandates to force consumers to drive electric vehicles.
Here's a graph showing the projected growth of EVs in 2040:
We're currently in the early stages of the EV boom and there are dozens of great EV stocks to buy as more people choose electric vehicles over legacy ICE vehicles.
It seems like a new EV SPAC launches every week so it's difficult to keep track of all these EV stocks.
Below is a list of the best EV stocks to buy in 2021 for savvy investors.
I excluded EV charging station stocks from this list because they don't actually produce any vehicles.
Best Electric Car Stocks
Here's a list of the best EV stocks to buy right now:
- Tesla (NASDAQ: TSLA)
- Nio (NASDAQ: NIO)
- Xpeng (NYSE: XPEV)
- BYD (OTC: BYDDY)
- Workhorse (NASDAQ: WKHS)
- Electrameccanica (NASDAQ: SOLO)
- Fisker (NYSE: FSR)
- Arcimoto (NASDAQ: FUV)
- Canoo (NASDAQ: GOEV)
- Lucid Motors (NYSE: CCIV)
- Kandi (NASDAQ: KNDI)
- Arrival (NASDAQ: CIIC)
- Ideanomics (NASDAQ: IDEX)
- Tata Motors (NYSE: TTM)
- Proterra (NASDAQ: ACTC)
When it comes to EVs, Tesla is currently the undisputed king of the electic car boom.
Last year alone, Tesla stock soared over 700% and joined the S&P 500 after 5 consecutive quarters of positive earnings.
The clear leader in electric cars with a $800 billion market cap and projected 750,000 deliveries in 2021.
CEO Elon Musk is currently the 2nd richest person in the world and grew Tesla into a massive company over the last decade.
Tesla is planning the Cybertruck in 2022 and could also launch robot & air taxis to increase income further.
Tesla is also one of the few companies to add Bitcoin to its balance sheet. Tesla purchased $1.5 billion in Bitcoin and will accept Bitcoin for future car purchases.
Not only does Tesla have plenty of revenue upside, but Tesla stock will gain in value as Bitcoin rises over time.
While I don't think Tesla will soar another 700% in 2021, there is still 2x to 3x upside left in the stock.
TSLA Stock Rating: Strong Buy
Nio has deliveried over 75,000 cars since its inception and is growing in market share throughout China.
The company has lots of long term potential and a smart CEO.
China is the world's largest EV market and Nio deliveries have increased gradually every month.
With a $90 billion market cap, many investors probably think most of the growth is done but Tesla is an example of how a company can continue to grow even with a high valuation.
Nio Stock Rating: Buy
Xpeng recently went IPO in August 2020 and deliveried 8,000 vehicles in the most recent Q3. Many Chinese car experts says it's the best overall luxury sedan in China. Lots of growth potential in Europe, too.
Berkshire Hathaway has a major stake in the company and BYD is a diversified solar company, not just cars. Strong buy.
Workhorse recently received a 50,000 C-1000 delivery van contract and is still awaiting the USPS decision. Things are looking better for them, especially if they win the USPS contract.
The first SOLO EV hit American shores in Q3 2020 and the company has over 75,000 preorders for its flagship, SOLO.
The stock is on a recent tear and is still under a $1 billion market cap.
Many people give funny looks when seeing a SOLO for the first time but it drives just like a regular car.
The SOLO reaches a top speed of 80 mph and has a charge range of 100 miles.
Many test drivers are skeptical at first but end up enjoying their first ride in a SOLO.
From Youtube to news articles, test drivers love the SOLO driving experience although it's not a great vehicle for driving in snowy conditions.
The SOLO will disrupt the EV market because it's a single seated vehicle. Many people want a motorcycle-like vehicle with superior safety and protection from rainfall.
Electrameccanica will deliver its first SOLO preorders in mid-2021 and the company plans to build its own US factory in either Phoenix (AZ) or Nashville (TN).
The company is focusing on the West Coast USA but will expand across North America in the future.
Once SOLO deliveries ramp up, I expect SOLO stock to soar in value as more people embrace a smaller, more economical 3-wheeled vehicle.
Luxury car designer Henrik Fisker makes a 2nd attempt at competing with Tesla with the recent SPAC-IPO.
The Fisker Ocean has 7,000 preorders and the company projects over $12 billion in revenue by 2025.
The 3 wheeled FUV (Fun Utility Vehicle) is another futuristic vehicle that aims to capture a niche EV market.
The FUV is also available for police & firefighters under a different model to improve emergency response times.
Canoo (NASDAQ: GOEV)
Canoo aims to revolutionize transportation by creating a vehicle that's perfect for the self-driving wave.
Lucid Motors (CCIV)
Lucid Motors is like the “Mercedes of EVs” as the company plans to launch its flagship car this year, Lucid Air.
There is a ton of hype about this company but no one is 100% sure about which SPAC Lucid Motors will merger with.
Rumors suggest CCIV will be the most likely SPAC to merger with Lucid Motors this year.
Kandi (NASDAQ: KNDI)
Kandi is a Chinese EV maker that sells one of the cheapest EVs in America. Kandi's k27 and k23 are low budget and affordable electric cars that may sell well through North America.
While KNDI stock is still a speculative EV play, I think there is a ton of upside if Kandi can scale its productions while keeping costs low.
Kandi is one of my favorite cheap EV stocks under $10 that could soar in the future.