In this article, we will take a look at some of the best electric and autonomous driving stocks that are being highly favored by hedge funds.
On June 11, FreightWaves reported that Einride, a Swedish transportation technology company, began trading on Nasdaq following the completion of its de-SPAC transaction, marking another milestone in the commercialization of electric and autonomous transportation technologies.
The listing comes as software, hardware, and automation developments that continue to enable widespread deployments of electric and autonomous vehicles, making them go beyond the small-scale trial programs that defined the industry’s initial phases.
Einride’s growth plan is focused on leveraging operational data to support future automation initiatives while delivering electric and autonomous vehicles to large transportation clients. CEO Roozbeh Charli stated:
“Over the past decade, Einride has built the technology and the customer base to lead the transition to autonomous and electric freight. Our focus now is clear: continue expanding with our customers and increase automation within their networks, demonstrating that every mile we run makes the entire network more efficient.”
Companies that are involved in electric and autonomous mobility are currently concentrating more on increasing real-world deployments, enhancing efficiency, and scaling commercial operations. Furthermore, cost competitiveness, automation, and the broader adoption of electric mobility remain important themes as the sector seeks to demonstrate the commercial viability of autonomous driving technologies.
With that background, let’s explore our 10 Best Electric and Autonomous Driving Stocks to Buy According to Hedge Funds.
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Our Methodology
To identify relevant stocks for this article, we screened U.S.-listed electric and autonomous driving companies with market capitalizations above $2 billion. Next, we identified the number of hedge funds holding positions in these stocks as of the end of the first quarter of 2026. Finally, we selected 10 stocks with the highest number of hedge funds holding stakes and ranked them in ascending order.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 599.2% since May 2014, beating its benchmark by 372 percentage points (see more details here).
10. Rivian Automotive Inc. (NASDAQ:RIVN)
The recent launch makes Rivian Automotive Inc. (NASDAQ:RIVN) one of the 10 best electric and autonomous driving stocks to buy according to hedge funds. On June 9, the CEO of Rivian Automotive Inc. (NASDAQ:RIVN), RJ Scaringe, appeared highly energetic with the company’s new R2 Sport Utility Vehicle.
The founder of the company presented different R2 models, which are anticipated to be available soon within the U.S. market, and also talked about the suspension and software technology of the vehicle.
One of these is an entry-level model that costs about $45,000. Rivian revealed that it will be available in the summer next year instead of late 2027, as originally scheduled. Even though Scaringe is excited, there is a hint of anxiousness as he talks to staff and media at the R2 launch event in western Utah. He is preparing himself to present the model to those who have already made reservations.
The R2 will debut with an advanced driver-assistance system that can monitor the driver while handling a large portion of the driving in specific situations. Nevertheless, a voice assistant driven by AI won’t be accessible until later this year. Rivian intends to use over-the-air updates to improve both systems. Scaringe stressed that the company’s expanding software services are just as significant as its cars.
Rivian Automotive Inc. (NASDAQ:RIVN) develops and sells category-defining electric vehicles. The company offers software and services, consumer vehicles, and a seven-passenger sport utility vehicle, R1S. The company also provides the Rivian Commercial Van platform, the Rivian Adventure Network Direct Current fast chargers, and FleetOS.
9. Lyft Inc. (NASDAQ:LYFT)
Lyft Inc. (NASDAQ:LYFT) is one of the 10 best electric and autonomous driving stocks to buy according to hedge funds.
On June 11, Lyft Inc. (NASDAQ:LYFT) announced that Baidu’s autonomous vehicles will start road testing throughout London within the coming weeks. A commercial robotaxi launch is scheduled for the second half of the year, pending vehicle inspections and official approval from UK authorities.
As part of the collaboration, Lyft will handle fleet management and customer bookings through its mobile application. Baidu will supply the vehicles along with the self-driving systems. Fares will likely match current ride prices with human drivers.
This upcoming rollout increases regional competition, as local startup Wayve plans a summer launch with Uber while Waymo intends to enter London before next year ends.
During the second week of May, RBC Capital reduced its price target for Lyft Inc. (NASDAQ:LYFT) from $22 to $18, while maintaining an Outperform rating on the stock. The firm noted that Lyft’s first-quarter results were not as strong as expected, with market bears expected to focus on organic growth trends and changes in rider promotions.
RBC Capital further highlighted that the company continues to be positioned for double-digit growth, supported by a potential path towards margin expansion, despite recent weakness in results.
Lyft Inc. (NASDAQ:LYFT) operates multimodal transportation networks in the U.S. and internationally. The company runs the Lyft Platform that connects drivers with riders through the Lyft mobile application, and also allows ridesharing. It offers advertising services, sells bikes and bike station software and hardware, and data access agreements.
8. Aptiv PLC (NYSE:APTV)
Aptiv PLC (NYSE:APTV) is one of the 10 best electric and autonomous driving stocks to buy according to hedge funds.
On June 8, Aptiv PLC (NYSE:APTV) announced the launch of its Advanced Occupancy Classification system, marking the industry’s first occupant detection solution powered entirely by an in-cabin camera. The newly introduced software solution leverages artificial intelligence and advanced computer vision to classify vehicle occupants based on parameters including height, weight, and body position.
This camera-only system architecture simplifies vehicle engineering by completely eliminating traditional pressure-based in-seat hardware, which lowers the automotive bill-of-materials cost by up to 40%. The system achieved a 100% accuracy rate across federal regulatory testing procedures under the FMVSS 208 regulation for frontal crashes.
Furthermore, automakers can utilize the same interior camera sensor to deploy over fifteen additional cabin safety and comfort functions. These include driver-attention tracking, hands-on-wheel detection, and seatbelt-status monitoring. The technology features over-the-air upgrade capabilities, allowing vehicle platforms to adapt over time as global safety compliance mandates evolve without requiring physical component adjustments or adding extra system sensors. This launch makes Aptiv one of the most favored electric and autonomous driving companies, according to hedge funds.
Aptiv PLC (NYSE:APTV) offers advanced electrical and active safety technologies that ensure safer and greener mobility solutions. Operating through 2 segments, Signal & Power Solutions, and Advanced Safety & User Experience, it develops and sells vehicle components for automotive and commercial vehicles.
7. QUALCOMM Inc. (NASDAQ:QCOM)
QUALCOMM Inc. (NASDAQ:QCOM) is one of the 10 best electric and autonomous driving stocks to buy according to hedge funds. The optimism surrounding the stocks is backed by the company’s ongoing engagement with QCraft.
On June 5, Qualcomm Inc. (NASDAQ:QCOM) and QCraft showcased their urban Navigate-on-Autopilot solution in SA8650P-equipped production vehicles during the 2026 Qualcomm Automotive Technology and Cooperation Summit. QCraft successfully finished the development and on-road validation of highway and urban systems using SA8775P and SA8650P platforms operated by Qualcomm, since their collaboration began in September 2025.
Additionally, a higher-compute solution based on the QAM8797P platform is presently being developed collectively. During live demonstrations, the vehicles successfully navigated complex scenarios, including mixed pedestrian traffic, tunnels, and unprotected left turns, exhibiting smooth, human-like control.
QCraft Chief Technology Officer Dr. Dong Li noted that development on the Snapdragon Ride platform has rapidly accelerated toward mass production. He also discussed the industry transition from autonomous driving to general-purpose physical artificial intelligence.
The QPilot assisted-driving system is currently deployed on nearly 30 production models, with over 50 more anticipated in 2026, supporting billions of user-driven kilometers while maintaining exceptionally low false-trigger rates for emergency braking.
QUALCOMM Inc. (NASDAQ:QCOM) engages in the development and commercialization of foundational technologies for the wireless industry. The company offers systems for connectivity, integrated circuits, system software, and IoT. It licenses 3G, 4G, and 5G patents, invests in early-stage technology companies, and provides development services to government agencies and data center businesses.
6. General Motors Co. (NYSE:GM)
General Motors Co. (NYSE:GM) is one of the 10 best electric and autonomous driving stocks to buy according to hedge funds.
On June 9, General Motors Co. (NYSE:GM) announced a software update enabling certain U.S. electric vehicle owners to transmit power back to the electric grid. This expands the existing vehicle-to-home system, which already allows EVs to supply residential power during blackouts. Under this vehicle-to-grid model, owners can sell electricity to utility companies during periods of high demand, with General Motors taking a portion of those payments.
According to Aseem Kapur, Chief Revenue Officer of GM Energy, the company is now in talks with about ten utilities. He stated that the technology’s commercial rollout, which would initially focus on Texas and California, is expected to start in the coming months.
In Michigan, a different localized pilot initiative with DTE Energy is also in progress. Although utilities are still wary of the necessary infrastructure investments and technological uncertainties, the initiative highlights a larger industry trend of automakers like Ford Motor Co. following Tesla’s lead in the energy sector.
Earlier on June 1, Michael Ward from Citi reiterated a Buy rating on General Motors Co. (NYSE:GM), while significantly increasing the price target from $108 to $131. Ward raised the price targets for both automakers, i.e., General Motors and Ford, to reflect their prospects.
Although Ward currently prefers General Motors over Ford, he feels that both companies are well-positioned to capitalize on increased industry production. Additionally, he highlighted that adjacent revenue streams originating from energy storage, autonomous technologies, robotics, and digital services offer avenues for growth and margin expansion compared to the traditional automotive business.
General Motors Co. (NYSE:GM) builds and sells crossovers, cars, trucks, and automobile parts worldwide. It also offers after-sales services, subscriptions, automotive financing, and software-enabled services. It sells its products through retailers, distributors, and dealers, as well as to fleet customers. The company markets its vehicles under brand names including GMC, Baojun, and Buick.
While we acknowledge the potential of GM to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than GM and that has 100x upside potential, check out our report about the cheapest AI stock.
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