12 Small Cap EV Stocks to Buy Now

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10. Enovix Corporation (NASDAQ:ENVX)

Market Capitalization: $1.19 Billion

Number of Hedge Fund Holders: 21

Enovix Corporation (NASDAQ:ENVX) is an American technology company that specializes in designing and manufacturing lithium-ion batteries with advanced silicon anodes. These batteries can be used in a wide range of applications, including wearables, smartphones, laptops, industrial devices, and electric vehicles. Enovix Corporation (NASDAQ:ENVX) ranks among the best EV stocks to buy according to hedge funds.

The company is focused on transforming the battery industry through its innovative cell architecture that can enhance battery performance for electric vehicles. According to Enovix Corporation (NASDAQ:ENVX), its unique cell architecture can create unique advantages for global automotive original equipment manufacturers (OEMs) by providing increased energy density, better thermal conductivity, high cycle life, and lower cost at both the cell and pack level thanks to simplified system design and low-cost manufacturing processes. Previously, in July 2024, the company signed a non-binding Memorandum of Understanding (MOU) with a high-performance, global automotive OEM that will focus on scaling the company’s unique battery cell design for the EV market. This was the company’s second agreement with an automotive OEM and it is focused on cell design and performance validation at the cell, pack, and vehicle levels to improve overall performance and customer experience.

During Q1 2025, Enovix Corporation (NASDAQ:ENVX) worked with its automotive OEM partners and reported that it significantly improved the likelihood of expanding its commercial agreement with one of the two partners by the end of 2025. On April 15, Benchmark analyst Mickey Legg reduced the price target for Enovix Corporation (NASDAQ:ENVX) from $25 to $15 but maintained a “Buy” rating. Legg believes that the company, which is currently in its product sampling phase for 2025, will start launching products in 2026. The analyst believes that while initial order might be modest, there is potential for significant growth as the company starts securing larger deals.

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