Rivian Automotive has been charting a path toward recovery, making it one of the top EV stocks to buy now. It has bounced back impressively in recent quarters, fueled by promising developments and renewed investor interest.
The EV upstart has shown solid progress in ramping up delivery volumes and moving toward profitability. Additionally, it unveiled next-generation versions of its R1S SUV and R1T truck models, likely to be a major growth catalyst ahead. Moreover, rumors swirling over a potential partnership with Apple (NASDAQ:AAPL) and the anticipated launch of its more affordable R2 models are stoking investor enthusiasm.
However, Rivian’s not the only EV stock that’s worth betting on at this time. The industry is up against multiple headwinds, but these three are among the best EV stocks to buy now. Coupled with Rivian, these dynamic EV stocks should build a superb portfolio poised for long-term growth and exciting returns ahead.
BYD (BYDDY)
BYD (OTCMKTS:BYDDY) is arguably the most compelling EV story. Defying current market headwinds, it has effectively transformed from a top-tier battery maker to a juggernaut in the EV space.
The firm’s strategy revolves around blending accessibility with affordability, allowing it to effectively dominate the Chinese market. However, it’s not stopping there. It’s set on dominating the global EV scene, revving its presence everywhere, from Europe to Southeast Asia.
Recent results have been tremendous despite industry challenges. Sales of new energy vehicles were up 38.1%, totaling 331,817 units in May. This includes a 54.1% rise in plug-in hybrid sales and a 22.4% boost in battery electric vehicles.
Also, introducing new models like the ‘Shark’ pickup truck and the budget-friendly ‘Seagull’ EV underscores its stellar long-term bull case. BYD is effectively laying the groundwork for sustained dominance in the EV realm.
Li Auto (LI)
Li Auto (NASDAQ:LI) is a trailblazer in the Chinese EV market, and it stands out for its robust bottom-line position. Unlike most of its peers domestically and globally, Li Auto has been consistently profitable on a gross profit basis since 2020. Moreover, it swung from a $292 million loss in 2022 to rake in a cool $1.65 billion net income last year.
Furthermore, its recent financials underscore its stellar upward trajectory. Despite the relatively muted performance in Q1, it expects to deliver between 105,000 to 110,000 vehicles in the second quarter, roughly a 21.3% to 27.1% increase from the prior-year period. Last month’s results, in particular, underscore its bright outlook ahead. It posted a 23.8% increase in car deliveries year-over-year (YOY) to 35,020 vehicles.
As we advance, Li Auto is laser-focused on dominating the Chinese market through model innovation and next-generation autonomous driving technology. It also plans to invest over 6 billion yuan in building 5,000 charging stations, significantly boosting its service network while opening up a lucrative new income stream.
General Motors (GM)
General Motors (NYSE:GM) is one of the biggest names in the automotive industry, and it continues to navigate the weaknesses in the EV space. In doing so, the automotive giant is looking to advance its hybrid technologies effectively in tandem with its expansive EV and autonomous vehicle projects.
In 2023, the firm delivered over 75,000 EVs and projected a substantial increase between 200,000 and 300,000 EVs this year. Bolstering its commitment further, GM plans to invest a whopping $35 billion in its EV initiatives through the current year, along with major investments in its powerful Ultium EV platform, including enhancements in its connected vehicle services.
Financially, GM remains in excellent shape, marked by robust agility and growth potential. It reported an 8% YOY increase in sales for Q1, hitting $43 billion. This substantial growth was accompanied by a hefty 19% increase in adjusted earnings per share to $2.62, prompting an optimistic revision of its full-year financial outlook.
On the date of publication, Muslim Farooque 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