Electric vehicle stocks have undeniably captured the imagination of the stock market over the past few years. Promoting clean-energy transportation remains a major investing theme. Hence, the biggest hedge funds and some of the wealthiest investors across the globe are wagering on electric vehicle stocks for the long haul.

According to Vantage Market Research, the EV market should to skyrocket from $193.5 billion in 2022 to a staggering $693.7 billion by 2030, with an eye-catching CAGR of 17.3%.

However, as with any high-growth investment trend, not all companies are poised for success. To navigate these tumultuous waters, savvy investors will want to follow the electric vehicle stocks billionaires are buying. That said, let’s look at three such stocks that billionaires are buying in the EV realm.

Tesla (TSLA)

EV pioneer Tesla (NASDAQ:TSLA) has always been popular with smart money investors.

Some of the most successful investors of our time have substantial stakes in the EV titan. The hedge fund sentiment has been mostly positives. In fact, hedge funds added more than 780,000 Tesla shares in the first quarter alone.

Also, billionaire investors such as Ron Baron, Philippe Lafont, and Jim Simons own more than three million shares in the company, among others.

Naturally, a lot has to do with Tesla’s superior performance over the years, positioning it as a juggernaut in its niche. Growth rates over the past five years have averaged more than 48%.

Though analysts expect a slowdown in top-line expansion this year to 22%, its sales growth is likely to accelerate past the 30% mark next year. Overall, it boasts tremendous competitive advantages in its niche positioning as the most dominant force in the sector.

ChargePoint (CHPT)

ChargePoint (NYSE:CHPT) is a leading force in EV charging landscape, commanding over 14 countries.

With a sprawling EV charging network across the U.S., it is in pole position to ride the surging wave of EV adoption in the country. Moreover, its dominance is evident in its double-digit top-line growth over the past few years, with forward sales estimates at over 50%.

Despite a 30% drop in CHPT stock over the past year, the firm’s impressive track record paints an optimistic future. It serves “80% of Fortune 50 companies,” and as these businesses continue adding more EVs to their fleets, CHPT’s top and bottom line is bound to soar.

Given its stellar performance and strong market position, assuming it would break even within the next three years is plausible.

Hedge fund sentiment surrounding the stock was positive in the last quarter, with holdings increasing by almost 35,000. It attracts investments from top investment firms, including Baillie Gifford and Jefferies Group, along with billionaires such as Steven Cohen and Paul Tudor Jones.

Ford (F)

Automotive giant Ford (NYSE:F) posted its first-quarter results, reporting results from its EV business separately for the first time. Despite the EV unit’s $722 million loss, the overall business made a quarterly net income of $1.8 billion. Moreover, with greater scale, Ford targets annual EV production of 600,000 by the year’s end, helping narrow down its losses.

Ford is likely to benefit from the Inflation Reduction Act, which could result in a staggering $7 billion in tax credits for its business and its partners.

The automaker is leveraging its Chinese operations as a manufacturing hub for affordable EVs in Australia and South America. This strategic move further strengthens the firm’s position in the fast-evolving EV market.

Hedge fund sentiment surrounding the stock was excellent in the past quarter, with holdings increasing by $1.6 million. Billionaire investors such as Ken Fisher and Jim Simmons own more than five million shares in the business, among others.

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