3 Electrifying EV Stocks to Buy Now

While electric vehicle stocks haven’t necessarily been as supercharged as they were during 2020, the long-term bullish narrative surrounding the industry is still intact. With consumer preferences quickly shifting towards EVs and plenty of government incentives in place that should entice drivers to go electric, companies that produce electric automobiles look like they are poised to deliver strong performance over the next few years.

Keep in mind that President Joe Biden has plans to put billions towards developing U.S. EV infrastructure along with other transportation sectors, which could be another strong catalyst for these stocks going forward. Although some of these companies might face near-term challenges related to the global chip shortage, there are enough tailwinds here to support building positions in the top names in EV. Several stocks in the sector stand out at this time, which is why we’ve put together the following list of 3 electrifying EV stocks to buy now. Let’s take a deeper look below.

General Motors (NYSE:GM)

One of the major concerns about up-and-coming EV players is that they will face an uphill battle to separate themselves from all of the competition. That’s a big reason why General Motors is attractive, as the company already has so many successful brands including Buick, Cadillac, Chevrolet, GMC, and more. There’s also a lot to like about the fact that this company is already is generating strong sales and revenues with its gas-powered vehicles, and General Motors has big plans to electrify some of its most popular cars in the coming years.

The company recently announced that it is increasing its investment in electric and autonomous vehicles to $35 billion through 2025, which is a 30% increase above what the American automaker announced it would be spending last November. General Motors also has a strong balance sheet and benefits from high margins in North America which should help to fund the company’s electric ambitions. In Q1, General Motors delivered a 900% yearly increase in net income of $3 billion on $32.5 billion in revenue. There’s also a chance that the company will reinstate its dividend in the near future, which is another reason why it's one of the best EV stocks to consider adding now.

Nio Inc (NYSE:NIO)

Next up is Chinese EV-maker Nio, a stock that looks to have turned the corner after facing selling pressure for the majority of 2021. This company manufactures and sells smart and connected vehicles that are powered by cutting-edge technology. It’s a company that deserves a look from EV investors thanks to the fact that the EV market is growing faster in China than in the U.S. at this time. According to Pew Research, China has 44% of all of the EVs in the world, and the country is moving forward with plenty of new government policies that should help the electric vehicle market grow even faster in the coming years.

Nio reported a quarterly record of 20,060 deliveries in Q1, up 423% year-over-year, and the company will soon start construction work on its second factory that could dramatically boost the Nio's production capabilities. Nio also has plans to expand into Europe soon, which is another rapidly expanding market that could drive the company’s growth to further heights. This is one electrifying EV stock that commands attention at the moment, especially thanks to the international exposure it has to offer.

Ford Motors (NYSE:F)

Last on our list of electrifying EV stocks to buy now is Ford Motors, another legacy automaker that is pushing towards reinventing its business with new technology. The company is starting by producing zero-emissions versions of its most popular vehicles including classic Ford cars like the Mustang and the F-150. The company’s CEO, Jim Farley, stated back in May that the company expects 40% of its global vehicle production to be all-electric by the year 2030. This is a strong statement of intent that tells investors everything they need to know about this company’s plans for electrifying its business model.

Another reason to look at Ford right now is the fact that the company recently announced that it expects operating earnings in the second quarter to be better than its previously provided estimate. Higher demand for the company’s pickup trucks and sports utility vehicles could reward investors with a nice earnings boost in the coming months. As more details come out surrounding the Ford F-150 Lightning, there’s a strong chance that Ford stock powers higher. It’s a great buy-the-dip candidate if you are interested in an EV stock with an established business and a strong balance sheet.