Are These The Top EV Stocks To Invest In Now?
For investors looking towards potential long-term growth trends in the stock market today, electric vehicle (EV) stocks present an interesting opportunity. After all, there is an ongoing shift from combustion engines to electric-powered automobiles now. Adding to this is support and increasing incentives from governments across the globe as well. So much so that even the EV charging industry is part of the recent $1 trillion infrastructure bill being negotiated in the Senate. With all of these gears in motion, the top EV stocks could gain momentum in the stock market now.
At the same time, the industry is not sitting idly by amidst all this as well. Earlier today, news broke of Lordstown Motors’ (NASDAQ: RIDE) plans to sell its Ohio plant to Foxconn (OTCMKTS: FXCOF). Through the $230 million in-principle agreement, the Taiwanese tech firm will be acquiring Lordstown’s full-sized electric pickup truck manufacturing operations. Notably, this move would serve to provide crucial capital for Lordstown while allowing Foxconn to start producing Lordstown EVs. Lordstown CEO Daniel Ninivaggi notes that the company can now leverage Foxconn’s manufacturing expertise and cost-efficient supply chains to its benefit as well.
Not to mention, Lucid Motors (NASDAQ: LCID), a highly watched name in the EV space, is also making headlines this week. This would mostly be thanks to the company beginning production of its first EVs to be sent to customers. With many likening the newcomer as a potential direct rival to EV titan Tesla (NASDAQ: TSLA), things could get interesting. With all this in mind, here are three top EV companies reporting their September delivery figures today.
Best EV Stocks To Consider Buying [Or Selling] This Month
- Nio Inc. (NYSE: NIO)
- Li Auto Inc. (NASDAQ: LI)
- Xpeng Inc. (NYSE: XPEV)
Nio Inc.
Starting us off today is Nio. The Shanghai-based EV firm specializes in developing and manufacturing “Smart EVs”. In essence, the company’s EVs boast a variety of cutting-edge features. The likes of which include autonomous driving and an in-vehicle artificial intelligence (AI) system. Additionally, the company is also establishing its EV battery swapping services. This would offer EV owners a timely alternative to waiting in lines at charging stations now. NIO stock currently trades at $35.80 as of 11:33 a.m. ET.
Even with all of this factored in, NIO stock continues to make waves in the stock market now. For starters, the company reported its September vehicle delivery figures earlier today. Notably, Nio delivered a total of 10,628 vehicles globally throughout the month, marking a 125.7% year-over-year surge. In the third quarter of 2021, this adds up to a total of 24,439 vehicles. This would be more than double the deliveries it made a year earlier. Even with its current pace, some would argue that NIO stock could still have room to grow.
To highlight, the company appears to be hard at work expanding its presence beyond the booming Chinese EV market. This is evident seeing as Nio launched its latest EV, the ES8, alongside its battery swapping services in Norway earlier this week. With Nio firing on all cylinders now, would you consider NIO stock a top buy among EV stocks?
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Li Auto Inc.
Following that, we have Li Auto, a company that designs and manufactures premium smart EVs. In fact, it is a pioneer to successfully commercialize extended-range EVs in China. Its first model, Li ONE, is a six-seat, large premium electric SUV equipped with a range extension system and advanced smart vehicle solutions. With that being said, LI stock currently trades at $26.56 a piece as of 11:33 a.m. ET and has enjoyed gains of over 50% in the past year alone.
Today, the company provided a September 2021 delivery update and is still showing strong growth momentum. Diving in, Li Auto delivered 7,094 Li ONEs in September, more than doubling year-over-year. “Deliveries of Li ONEs in September moderated compared with the prior month due to the prolonged chip supply shortage. Responding to the continually rising orders since the release of the 2021 Li ONE, we are taking multiple measures to ensure the supply of the auto parts, aiming to shorten the waiting time of delivery for our users,” said Yanan Shen, co-founder and president of Li Auto. Its deliveries for the third quarter of 2021 were a cool 25,116, up by 190% year-over-year.
In late August, the company also reported its second-quarter 2021 results. Firstly, vehicle sales for the quarter were $759.4 million, increasing by 41.6% compared to a year earlier. Vehicle margin was 18.7% for the quarter. It also achieved a free cash flow of $152.1 million for the quarter. All things considered, should investors be looking to add LI stock to their portfolios today in light of its delivery update?
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Xpeng Inc.
Last but not least is Xpeng. This Chinese EV maker is yet another leading name in the market now. For the most part, the company’s EVs are marketed to the tech-focused middle-class consumers in China. In detail, Xpeng provides consumers with a premium experience via its proprietary full-stack software offerings. This in unison with the company’s solid array of core vehicle systems could make XPEV stock worth keeping an eye on.
As it stands, XPEV stock trades at $35.54 as of 11:33 a.m. ET. This would be after gaining over 90% in the past year. Part of these gains would be thanks to the company’s latest update on its September vehicle deliveries. Diving right into it, Xpeng posted its highest monthly deliveries, coming in at 10,412 units. For some perspective, this marks a year-over-year jump of 199%. Year-to-date, Xpeng has delivered 56,404 vehicles to customers, indicating a whopping 301% year-over-year increase.
By and large, this would serve to build investor hype around XPEV stock now. Not to mention, the company is also working in the process of expanding its major production plant in Zhaoqing, China. Should things go as planned, Xpeng estimates that the annual production capacity at this plant could double from 100,000 to 200,000 units. All in all, Xpeng does not seem to have plans of slowing down anytime soon. With that in mind, will you be investing in XPEV stock anytime soon?
