Best 10+ Electric Vehicle Stocks To Buy In India & Abroad

Electric vehicle stocks are going to be one of the most liked stocks day by day. Certainly value investors and long-term investors will find these stocks to be the most fruitful over time.

Why Buy Electric Vehicle Stocks?

When the demand for products or services of an industry starts increasing, then the stocks of that industry also perform well. The same is the case with electric vehicle stocks.

This is because times are changing faster than our experts estimated and we are all compelled to reduce the consumption of conventional sources of fuel as much as possible.

The reason is clear that the indiscriminate consumption of sources like petroleum (coal, petrol, diesel, etc.) has caused irreparable damage to our environment.

Over time we have been forced to use alternative sources of energy. The world is moving to use green energy to promote zero carbon emissions.

There are many factors affecting the environment. But a major factor among them has been transportation. The use of electric vehicles in the present context is not only able to meet our current needs effectively, but it also causes negligible damage to the environment.

However, it is not that the use of electric vehicles is new. In the early 2000s, GM, Chrysler, Ford, Honda and Toyota introduced some electric vehicles on California’s roads. But for some reason they were removed from the market.

A 2006 movie by Sony Pictures Classics, Who Killed the Electric Car?, was based on this cause.

Nowadays not only developed countries but also developing countries are targeting and promoting the use of electric vehicles.

It is estimated that by 2030, sales of electric vehicles could increase from 2% to 30% of the global share. Thus, it is clear that the future of electric vehicle stocks looks quite safe and bright.

Now the question arises whether investing in all electric vehicle stocks is equally beneficial.

The simple answer is that no matter which company the shares belong to, they will be beneficial for the investors only when they either have good fundamentals or are going to breakout technically.

Let us first go through Electric Vehicle and its business principles which will give you a good understanding of Electric Vehicle Stocks.

What are Electric Vehicles?

Two major factors are required to drive an automobile. One is the source of energy and the other to convert this source of energy for power stroke or propulsion.

You would know that the most popular fossil fuel-powered vehicles have fossil fuels (petrol, diesel, CNG) as the source of energy and power strokes are achieved mechanically.

The source of energy in an electric vehicle may be a collector system of electricity from off-vehicle sources or may be self-contained with batteries, solar panels, fuel cells or electric generators. One or more electric motors are used for power stroke or propulsion.

And thus we can say that an electric vehicle (EV) is a vehicle that uses one or more electric motors for propulsion. (Source : Wikipedia)

Electric vehicles are being used from Earth to space in the form of bikes, cars, trucks, buses, trains, ships, electric aircraft and electric spacecraft.

Basic Principle of Electric Vehicles

In electric vehicles, electrical energy converted into mechanical energy. In general, the main three steps involved are –

1. Drawing electric current from an external or internal power source

Energy sources for electric vehicles can be off-board or on-board. Off-board power means when the source of power supply is outside the vehicle whereas On-board stands for power supply which is installed and functional within the vehicle.

The supplied current can be alternating current (AC) or direct current (DC).

Off-board Power Supply- Over head equipment (OHE) via pantograph is an example of off-board supply seen in electric trains, trams, trolleybuses, trolleytrucks that are directly connected to power generation plants.

On-board Power Supply- On-board power is obtained in several ways-

• Using a fuel cell as in a fuel cell vehicle (FCV) or a fuel cell electric vehicle (FCEV). Fuel cell vehicles are zero emission vehicles in which the fuel cell generates electricity by chemical reaction of oxygen from the air and green hydrogen to emit only water and heat.
• Harnessing nuclear power that is used in nuclear submarines and aircraft carriers.
• Using solar energy like solar vehicles.
• Using lithium-ion batteries (Li-ion batteries or LIBs) like most electric cars and buses in American and European countries.

2. Modifying the drawing current through inverter or transformer, silicon rectifier etc.

Modification of the drawing current is carried out in accordance with the requirements of the design of electric vehicles. An inverter is used in electric cars to convert DC current from lithium-ion batteries into AC current.

3. Feeding of rectified current to traction motors driving axles

One or several traction motors are used to obtain the torque, efficiency and other parameters required to drive the axle.

Types of Electric Vehicles

Ground EV can be classified into three types –

Pure Electric or All-Electric Vehicles (PEV)

An EV running entirely/exclusively through an electric motor is known as a pure electric vehicle. Here the power source can be a battery, solar panel or fuel cell. If the source is a battery then it is called a Battery Electric Vehicle (BEV).

Hybrid Electric Vehicles (HEV)

As the name indicates HEV is a combination of internal combustion engine (ICE) and electrically driven motors. HEVs are capable of serving various purposes such as regenerative brakes, auto recharging the battery, reducing idle emissions, etc.

Plug-in Electric Vehicles (PEV)

PEVs include BEVs, PHEVs which are capable of being recharged through an external source of electricity such as a wall socket.

Apart from ground EVs, some broad categories are railborne EVs, airborne EVs, on- and off-road EVs, seaborne EVs, space rover vehicles, electrically powered spacecraft.

Electric Vehicle Stocks List

Hope you are now fairly clear about electric vehicles.

Being the most growing segment in the automobile industry, the list of electric vehicle companies is getting longer.

There are many companies which are directly or indirectly involved in manufacturing of electric vehicles and hence their stocks are also significant.

You can find here a list of lots of Electric Vehicle stocks from around the world. But for the sake of ease, we can classify these stocks into five main categories.

Types of Electric Vehicle Stocks

These types of electric vehicle stocks are as per the nature of business of the company.

• EV Material Stocks,
• EV Software Stocks,
• Pure Play EV Stocks (Auto Manufacturing),
• BEV Stocks (Battery Manufacturing),
• EV fuel cell stock, etc.

Now we will discuss only those stocks which are either fundamentally good electric vehicle stocks or which are expected to outperform in future.

Note: I strongly suggest you to read both these posts related to Fundamental Analysis of Stocks and How to Analyze Balance Sheet of a Company.

Electric Vehicle Stocks USA

The enactment of President Joe Biden’s green-energy agenda has further boosted the growth prospects in the electric vehicle sector. Due to which the doors of new investment have been opened in this sector.

You can say that the biggest change is going to happen in the auto industry since 1950. Let’s talk about Electric Vehicle Stocks USA.

1. Tesla, Inc. (NASDAQ: TSLA)

The American Electric Vehicle giant, Tesla, Inc., is a company of Mr. Elon Musk. The company needs no introduction. It mainly focuses on clean energy.

Tesla, Inc. (NASDAQ:TSLA) designs, manufactures and sells fully electric vehicles, solar products, energy storage solutions and battery cells. It operates in two segments – automotive, and energy generation and storage.

The company was founded in 2003 and headquartered in Palo Alto, California.

Financial Performance of Tesla, Inc. (NASDAQ: TSLA)

• During the three years, Tesla, Inc.’s revenue grew from $21.46 billion to $31.54 billion.
• Total assets increased two-fold.
• Net income turned positive from -$976M to $690M.
• The debt-equity ratio of the company is 0.37.

The company has shown record performance in the half yearly results ended 30 June 2021. Tesla Inc.’s revenue grew 86% to $22.35 billion and net income increased from $120 million to $1.58 billion.

Tesla stock is a leader in its segment. It has corrected from its highest level whose technical analysis suggests key points as follows-

• Tesla stock price is trading within a parallel lines in a narrow range of $650-$750. A breakout of this line could lead to a fresh move for the stock which could be up or down in the near term.
• But the long-term trend of the Tesla stock price is still up.
• Stochastic is showing that the share price is going up.

Tesla’s future growth prospects

• The much-awaited Cybertruck with the most powerful tri-motor variant is expected to arrive in 2022.
• The latest Model S Plaid that has just been launched is Tesla’s fastest car ever, sprinting from zero to 60 mph in less than two seconds.
• Tesla has two upcoming Gigafactories under construction, one in Austin, Texas and the other outside Berlin, Germany.
• Tesla is expanding its business to the Asian nation.

No doubt! Tesla stock tops the list of electric vehicle stocks to buy right now.

2. General Motors Company (NYSE: GM)

General Motors, an American automobile company, designs, manufactures and sells trucks, crossovers, cars and automobile parts worldwide. This is one of the best electric car stocks to buy now.

This is not because of its good fundamentals, but rather its future prospects such as the launch of GM’s new business Brightdrop and GM Cruise’s team-up with Microsoft Azure to commercialize self-driving cars in 2021.

BrightDrop is a new electric product delivery system that will provide an ecosystem of first-to-last-mile products, software and services that empowers delivery and logistics companies to move goods more efficiently.

FedEx Express will be the first customer of BrightDrop solutions.

General Motors is again increasing its spending on electric and autonomous vehicles and the company aims to launch 30 new EVs worldwide by 2025.

Some of GM’s most anticipated electric vehicles are the Hummer electric truck, a luxury Cadillac electric SUV and a Hummer electric SUV.

General Motors share price is very close to its support level of 48. If closing below this level, the stock may go into bearish phase for short term.

3. Aptiv PLC (NYSE: APTV)

Incorporated in 2011 and headquartered in Dublin, Ireland, the company Aptiv PLC is specific in the matter of technology.

Aptiv PLC not only manufactures Electric Vehicles but also provides customers the enhanced safety and user experience through sensing and perception systems for vehicle safety and comfort.

For this, the company also uses electronic control units, vehicle connectivity systems and autonomous driving technologies. 

Aptiv introduced the next-gen ADAS (Advanced Driver-Assistance Systems) platform for highly automated and electrified vehicles in early 2021.

The company hopes to be the first to have fully driverless vehicles on public roads with Motional’s joint venture.

The financial position of the company continues to show a good track record. The share price of Aptiv PLC is continuously trending up. Soon we may see some more highs (not necessarily) with a stoploss of 150.

4. Ford Motor Company (NYSE: F)

Ford Motor is one of the internationally renowned American automobile company, headquartered in Michigan, United States.

The company operates its business in three segments, i.e. Automotive, Mobility and Ford Credit. Ford Credit provides financial services to the world through its dealers.

Key highlights of the Ford Motor stock

• 40% of the company’s global sales are expected to be completely electric by 2030.
• Advance booking of 100,000 vehicles within a month of the launch of the F-150 Lightning electric truck.
• To launch 16 fully electric cars by 2022.
• The Cybertruck launched by the company is expected to arrive in the middle of 2022.

The only major concern about the company is its overall debt-to-equity ratio for recent quarters. However, this may be due to the expansion of the company’s business.

Technically, Ford’s stock price is trading below its 50-DMA and 200-DMA levels at 13.82 and 13.13 respectively.

5. Magna International Inc. (NYSE: MGA)

A Canadian manufacturing company, Magna International Inc. (NYSE:MGA) is the largest supplier of automotive products in North America.

Though the financial position of the Company (Y-o-Y) is average but the results for the six months ended 30th June, 2021 suggest a significant improvement in the financial position of the Company.

Magna International Inc.’s key features

• Apart from supplying EV parts to Fischer, the company Magna is also to manufacture Ocean Electric SUV for Fischer next year.
• Magna manufactures complete vehicles for BMW, Daimler and Jaguar.
• Magna manufactures e-motors, inverters, onboard chargers and e-drive systems for electric vehicles in a joint venture with South Korea’s LG Electronics.

6. NIO Inc. (NYSE: NIO)

Incorporated in 2014 and global headquartered in Shanghai, China, the company NIO Inc has expertise in developing smart electric vehicles.

The company is also known for providing premium services to its customers. It was formerly known as NextEV Inc.

Apart from pure EV manufacturing, NIO provides many more services such as power solutions, including Power Home, Power Swap, a battery swapping service; Public Charger, Power Mobile and Power Map, etc.

The company’s revenue stream has grown by a whopping 481% year-over-year. Earnings are still negative but improving steadily. NIO stock price is almost at its support level. It may be a good stock to buy with a strict stoploss of 30 for long term.

ChargePoint Holdings, Inc. (NYSE: CHPT), Fisker Inc. (NYSE: FSR), Xpeng Inc. (NYSE: XPEV) and Lordstown Motors Corp. (NASDAQ: RIDE) are just a few of the more USA electric vehicle stocks we’ll learn about later.

Electric Vehicle Stocks India

India has also joined the list of countries with green energy. Here the electric vehicle industry is beginning to take shape. Soon it will be the hub of electric vehicles as the Government of India is committed to achieving the heights of green energy.

In such a situation, it is easy to understand that investing in electric vehicle stocks in India can be quite profitable. But a wrong concept is also being developed in the market that in future electric cars will remain just a commodity.

This is surprising and also not accurate enough. One more thing, electric vehicles are not limited to electric cars only.

India is a populous and one of the most environmentally conscious countries. The electric vehicle sector has immense potential for growth under the strong leadership of the Prime Minister of India, Shri Narendra Modi.

As a result, recently a National Highway, Delhi-Chandigarh, has been fully developed for electric vehicles by BHEL. This is India’s first solar powered “electric vehicle friendly” highway.

Many well-known companies in the field of automobiles have either turned to electric vehicles or are about to do so. Let’s take a look at some of the best electric vehicle stocks in India.

1. Tata Motors Limited (NSE: TATAMOTORS)

Stock Price: 284.40 | Market Cap: 1.01T | 52 Week Range: 122.15-360.75 | EV/EBITDA: 7.83

Tata Motors Limited is a large cap automobile company. Apart from what we know about Tata Motors, the company is going to revolutionize the Indian electric car market as well as four wheeler heavy commercial electric vehicles.

And that too with innovative features like regenerative process for electrified vehicles.

The Tigor EV and Nexon EV are the flagship EV model cars of Tata Motors in India. The company is presently representing a leading position in India. It is also developing R&D for electric vehicles globally and in India.

The company already has the added advantage of being a Tata group. Tata Powers, Tata Chemicals, Tata Elxsi are involved in green energy generation and distribution, manufacturing of Li-ion batteries for EVs and development of software required for EVs respectively.

Tata Motors is planning to launch more than 10 EVs by 2025.

Although the company’s business prospects are very strong, but a little concern is the company’s debt. Technically, Tata Motors share price is trading below its 200 and 50 DMA, which is likely to fall further if there is no support at 280 levels.

2. Mahindra & Mahindra Limited (NSE: M&M)

Stock Price: 772.05 | Market Cap: 959.8B | 52 Week Range: 567.50-952.05 | EV/EBITDA: 11.66

M&M is a well established capital goods sector company having business in Automotive, Farm Equipment and many other segments. M&M is a well-known name for producing a wide range of conventional cars as well as heavy commercial vehicles.

Government contracts for the purchase of commercial buses and trucks are one of the profitable sources of revenue for the company.

In early 2000, the company made its move towards EVs production through Mahindra Electric Mobility.

So far, the company has successfully produced Treo, lithium-ion battery powered tricycles; eVerito, a sedan electric car; eSupro, India’s first all electric passenger and cargo van and many more.

M&M’s financials are looking good despite the pandemic. Company’s reserves and surplus are increasing consistently. We can expect more from M&M for electric vehicles, especially for battery development.

Further, Mahindra is expected to launch electric version of more than three of its popular existing models such as KUV100, XUV300 and 700 by 2023.

3. Motherson Sumi Systems Limited (MOTHERSUMI)

Stock Price: 211.40 | Market Cap: 666.95B | 52 Week Range: 102.30-272.85 | EV/EBITDA: 10.88

Incorporated in 1986 and headquartered in Noida, Motherson Sumi manufactures and sells automotive components in India and internationally. The company has a wide global presence.

The top four global EV companies, including Tesla, are the company’s customers for auto parts. Tata Motors also buys its auto parts from Motherson Sumi.

Despite strong fundamentals, the company has a debt-to-equity ratio of 1.17. The company is in a long term uptrend. There is a buy opportunity at the current level with a stop loss of 200.

4. Tata Chemicals Limited (NSE: TATACHEM)

Stock Price: 822.10 | Market Cap: 210B | 52 Week Range: 273.45-891.90 | EV/EBITDA: 15.03

Tata Chemicals Limited is a basic chemical and specialty chemicals manufacturer. The company manufactures, sells and distributes its products in national and international markets.

Battery is the significant part for BEVs. It costs almost one-third of the total cost of an EV. Tata Chemicals has developed a system to recycle spent batteries in mobiles, laptops and e-vehicles to extract Lithium, an important component of EVs batteries.

In addition, Tata Chemicals is building an energy storage system facility for mobility and stationary charging with laboratories in Pune and Chennai.

The fundamentals of the company are very promising and bright. In the short term, Tata Chemicals share price may correct towards 750 which will definitely be a buying opportunity.

5. Amara Raja Batteries Limited (NSE: AMARAJABAT)

Stock Price: 675.35 | Market Cap: 113B | 52 Week Range: 665-1025.55 | EV/EBITDA: 9.57

There are two market leaders in the traditional battery production segment. One is Amara Raja and another is Exide Industries.

Both are in the transition phase of manufacturing lithium-ion batteries for electric vehicles. Amara Raja had set up an R&D in Tirupati for the development of Lithium Ion cells.

Major OEMs like Maruti Suzuki and Honda are the customers of Amara Raja.

It is almost debt free and financially sound company. Technically, Amara Raja share price is weak and under correction from its 52 week high. It can get support near 600.

6. Maruti Suzuki India Limited (NSE: MARUTI)

Stock Price: 6711.45 | Market Cap: 1.98T | 52 Week Range: 6,270.15-8,329.00 | EV/EBITDA: 27.49

Maruti Suzuki is the market leader in the Indian car market in terms of entry-level vehicles with a high degree of confidence. Entry level refers to the price of the vehicle which does not put much burden on the pockets of the Indian customers.

But Maruti Suzuki is expected to be delayed among its peers in producing its first electric car that could be based on the Wagon R.

Hero Moto Corp, Minda Industries Ltd., Tata Elxsi Ltd., Exide Industries, Ashok Leyland, Greaves Cotton, JBM Auto and Himadri Specialty Chemical are some more Indian electric vehicle stocks that we will learn about later.

You can use Stock Market Calculator for technical calculations related to the price of stocks.

Conclusion- Are electric vehicles our future?

Of course! Electric vehicles are our future. The first electric vehicle came into existence in 1880. But after the popularity of ICE, it was underestimated for more than 120 years.

But now the important time has come for mankind to be more and more alert. Whatever changes are being seen in the environment today, it is a sign of a big danger.

Commendably, human civilization is once again adopting electric vehicles. This is an evolutionary stage where we want to completely eliminate fossil fuels from commercial transport and move towards electric vehicles.

The only thing that will be needed is that we get the sources of energy (electricity) required for electric vehicles only in the form of green energy.

You may visit to learn in details about Green Hydrogen and Green Hydrogen Stocks in India & Abroad.

Meanwhile, we will see some facts about Electric Vehicles –

• The expected growth rate of EVs market globally is 26.8% CAGR by 2030. (A report of the Global Forecast 2030 by Markets and Markets)
• Europe has become the largest electric vehicle market in 2020 compared to China.
• Globally, EVs have seen an uptick in sales despite the pandemic restrictions. As a result, there are over 10 million electric cars on the road globally today. (Source: International Energy Agency)

Hence, this segment of the automobile industry is going to be in tremendous demand for several decades. Needless to say, there is immense potential for growth in electric vehicles.