The US economy is on a positive trajectory, with a notable decline in inflation over the second half of the previous year. Raphael Bostic, the Atlanta Fed president, anticipates a slower progression of inflation moving forward and envisions it reaching around 2.5% by the end of 2024. Despite uncertainties, such as disruptions in shipping costs and geopolitical events, the labor market remains strong with low unemployment at 3.7%, reflecting a positive outlook for economic stability. Bostic’s approach reflects a commitment to maintaining confidence in the economy, and overall, the current economic indicators suggest a favorable path ahead. This means that the focus on innovation and sustainability will only be stronger than ever, buy these 3 EV stocks now.
Hyundai Motors (HYMTF)
Hyundai Motors (OTCMKTS:HYMTF) is an automobile manufacturer that exports its vehicles to over 200 countries. It is equipped with production bases all around the world.
HYMTF showed its financial growth during Q3 2023. The company reported $41 trillion in revenue, making a YoY increase of 8.74%. Net income of $3.19 trillion increased over 150.83% YoY. Q3 ‘23 was successful for HYMTF overall, beating the expectations on revenue and diluted EPS by 2.75% and 10.72% respectively.
To support its production, Hyundai is fully embracing artificial intelligence. Hyundai has recently announced a new production hub in Singapore, which is powered by AI, featuring custom EVs built by robots. It’s going to be an important preview of the future of auto production for investors, but it also indicates that Hyundai has the potential to provide investors with exposure to various profitable market trends.
Li Auto (LI)
Li Auto (NASDAQ:LI) is a Chinese company that designs, develops and manufactures electric vehicles. Its current products consist of four vehicles, the soon-to-released Li MEGA and three SUVs L7, L8 and L9.
Last year, Li Auto achieved strong financials, driven by a remarkable 182.2% YoY increase in total vehicle deliveries, which reached a total of 376,030 vehicles. Its revenue stands at $13.665 billion, reflecting a YoY increase of roughly 108.11%. In addition, the company increased its operating cash flow from $1.070 billion in December 2022 to $5.249 billion, a growth of 390.53%. As a result, LI has become China’s best-selling emerging new energy automaker, surpassing similar competitors such as Nio (NYSE:NIO) and XPeng (NYSE:XPEV).
Moreover, Nvidia (NASDAQ:NVDA) recently announced a partnership with Li Auto, whose vehicles will utilize DRIVE Thor, Nvidia’s latest car computer. This collaboration brings many functions such as automated driving, passenger monitoring and much more. Thus, the company’s customers will benefit from these advantages, which could lead to a larger growth in sales.
Tesla Inc (TSLA)
Tesla Inc (NASDAQ:TSLA) is an American automotive and clean energy company and is a leader in the electric vehicle industry.
TSLA’s financials are fantastic on all fronts indicated by its EV sales which are 486.69% more than the sector average. Revenue growth was 29.94% meaning it was 448.22% more than the sector median of 5.46%. EPS diluted growth was also an outstanding 2,705.06% more than the sector median and EBITA margin was 47.15% more than the median as well.
TSLA’s new Cyber Truck is getting mixed reviews, but this shouldn’t be too alarming. As TSLA continues innovating the way it has with the Cyber Truck, a new product should hit gold sparking a bull run. Once one product gains traction, generally others will follow suit. If TSLA continues innovating, its financials will only get better, and with rising financials come an unlimited ceiling. This unlimited ceiling potential is why I view TSLA as one of the top EV stocks.
On the date of publication, Michael Que 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.
The researchers contributing to this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article.