With governments across the world pushing for EVs and China aiming for 40% of new vehicle sales by 2030, it’s time to look at the best EV stocks to buy.

Besides China, several other countries are gearing up for a major push towards EVs which means EV makers will take home big gains in the next few years. Smart investors know that now is the right time to look for the best EV stocks to buy. 

When it comes to electric vehicle stocks, there are several companies to watch out for but there are a few stalwarts where you do not need to wait and see.

These companies are already raking in big numbers and reporting solid deliveries quarter after quarter. There are macroeconomic risks but these EV stocks can stand out in the long term.

With that in mind, let’s take a look at the three EV stocks to buy for maximum returns. 

BYD (BYDDY)

Chinese automaker BYD (OTCMKTS:BYDDF) has earned the top spot with its deliveries and eclipsed Tesla in the market share.

BYD offers outstanding performance and is winning the market with its price point. It is Warren Buffet’s favorite EV company for a reason.

Despite its price war with Tesla, BYD has reported stronger delivery numbers quarter after quarter. BYD stock is trading at $62 today and is up 21% year to date.

If there is one EV stock that shows steady and consistent growth, it is BYD. It sold the most EVs in 2022 at 1.86 million which is more than the 1.31 million sold by Tesla. The company has a sales goal of 4 million EVs in 2023.

In the recent quarter, it saw a whopping 400% surge in the year-over-year profit and an impressive 80% rise in revenue. This is despite the economic slowdown and supply chain issues. 

The company is not restricting itself to EV cars and has ventured into the electric bus market. It has already delivered more than 70,000 vehicles across the globe and is on an expansion spree.

It is looking to expand across Asia, Europe, and the U.S. The company has already begun manufacturing in Vietnam.

In the first quarter, BYD delivered 551,076 new energy vehicles, which is a 92% rise year over year. It recently announced the Seagull electric hatchback at a starting price of 78,000 yuan which is about 50% of the cost of the lowest-priced new energy vehicles available today.

China’s market is massive and BYD is showing tremendous growth. If it continues at this pace, it could revolutionize the entire EV industry.

Li Auto (LI)

Li Auto (NASDAQ:LI) is slowly and steadily expanding its share in the EV market, making it one of the top EV stocks to buy while you can.

The EV maker impressed investors with solid first quarter results and an impressive guidance. It reported a revenue of $2.74 billion, up 96% year over year and its non-GAAP profitability jumped 196% year over year. Li is one of the best EV stocks to buy today. 

The management expects deliveries to jump by 164% to 182% as compared to the deliveries in the same quarter the previous year. It also expects revenue to jump by between 177% to 196% as compared to the prior year’s quarter.

Further, it expects to deliver around 76,000 to 81,000 vehicles in this quarter and its April deliveries stood at 25,681, which is a 516% rise year over year. Even if it hits the low end of the range for this quarter, it will be over 150% rise as compared to the same quarter the previous year. 

The EV maker plans to triple its model line-up to 11 by 2025. It currently has four models in the market and while it may seem like an ambitious target, I think the company has the potential to make it happen.

It has a cash balance of $9.46 billion and if the company can manage to reduce its operating expenses, it can report even better numbers in the coming quarter. 

LI stock is trading at $29 today and is up over 40% year to date and 63% in the past six months. There is a recent spike in the stock because of earnings. Compared to many other EV stocks, LI looks like a great pick right now. Citibank has a buy rating for the stock with a price target of $54.3.

Volkswagen (VWAGY)

Next on my EV stocks to buy is the German automaker Volkswagen (OTCMKTS:VWAGY). It is an established name in the industry and is in a rapid transition phase towards EVs.

The company has an impressive lineup of models, a longstanding history in the automobile industry, and a loyal customer base. 

In the first quarter, the company reported $84.2 billion in revenue, but its operating profit was down 29% year over year. The company sold 141,000 EVs in the first quarter, up 42% from the same quarter the previous year and it is still only 6.95% of its total delivery volume for the quarter.

This means Volkswagen has massive potential to expand its EV manufacturing capacity and reach higher sales volumes. Its April deliveries jumped 39% to hit 720,200 vehicles which includes a 79% growth in China and 28% growth in Western Europe. 

VWAGY stock is trading at $15.60 today and its 52-week high is $23. The stock is trading at a discount and buying it at the current level can offer an opportunity to make the most of the upside. 

The management aims to focus on quality while also ensuring that profitability remains the same in each car. With its long history of delivering the finest quality cars, it will continue to remain one of the top automakers in the world. 

On the date of publication, Vandita Jadeja did not hold (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.