In this article, we will discuss the 5 best EV Stocks to Buy Now. To read our detailed analysis on the EV industry, its history, current status, and future outlook, please go directly to the 11 Best EV Stocks to Buy Now.
5. Tesla, Inc. (NASDAQ:TSLA)
Number of Hedge Fund Holders: 80
Tesla, Inc. (NASDAQ:TSLA) is the vertically integrated sustainable energy company, aiming to transition the world to electric mobility through the manufacturing of the EVs.
By the end of the first quarter of 2022, 80 hedge funds out of 912 tracked by Insider Monkey held stakes in this company. In the preceding quarter, 91 hedge funds out of 924 tracked by Insider Monkey reported owning stakes in this company.
Oppenheimer raised its target price on Tesla, Inc. (NASDAQ:TSLA) from $1,103.00 to $1,291.00 and gave it an “Outperform” rating.
Despite supply chain challenges and factory shutdowns, the company produced over 305,000 vehicles and delivered over 310,000 vehicles in 1Q22. The company posted total revenue of $18.8 billion, up 81% year-over-year. Over the multi-year horizon, Tesla, Inc. (NASDAQ:TSLA) expects achieving 50% average annual growth in vehicle deliveries. The company enjoys healthy liquidity levels to fund its product roadmap, long-term plans for capacity expansion and other miscellaneous expenses.
Baron Funds, an asset management firm, released its first-quarter 2022 investor letter and mentioned Tesla, Inc. (NASDAQ:TSLA). Here is what the fund said:
“During the first quarter, we bought back shares in Tesla, Inc., which designs, manufactures, and sells electric vehicles, solar products, energy storage solutions, and batteries. We believe that despite the run in the stock over the last few years, Tesla presents a favorable risk/reward profile and remains a Big Idea with only about 1% market share of the automotive market. Since we bought the stock during the first quarter, shares increased 27.1%, despite a complex supply-chain environment, on continued revenue growth and record profitability. Robust demand and operational optimization allow the company to offset inflationary pressures while vertical integration provides flexibility around supply bottlenecks. Moreover, we expect new localized manufacturing capacity to drive additional efficiencies while software initiatives, including the autonomous driving program, are accelerating, offering valuable optionality to the stock.”