Forget Tesla: 5 Cheap EV Stocks to Buy Now

1. Ford Motor Company (NYSE: F)

Number of Hedge Fund Holders: 49   

Price as of August 13, 2021: $13.90

Ford Motor Company (NYSE: F) is a Michigan-based automaker. It is ranked first on our list of 10 cheap EV stocks to buy now. The firm has a market cap of over $55 billion and posted more than $127 billion in revenue last year. On August 4, while reporting vehicle sales numbers for July, the firm reported that electric vehicle sales of the company had jumped more than 57% with the sale of 9,103 vehicles over the period. Reservations for the F-150 Lightning, the newest EV marketed by the firm, had exceeded 120,000. 

On July 16, investment advisory Bank of America maintained a Buy rating on Ford Motor Company (NYSE: F) stock and raised the price target to $18 from $17, noting that the firm was expected to beat market expectations on earnings. 

At the end of the first quarter of 2021, 49 hedge funds in the database of Insider Monkey held stakes worth $2.1 billion in Ford Motor Company (NYSE: F), up from 41 in the preceding quarter worth $1.6 billion.

In its Q1 2020 investor letter, Greenlight Capital Fund, an asset management firm, highlighted a few stocks and Ford Motor Company (NYSE: F) was one of them. Here is what the fund said:

“General Motors (GM) was a disappointment. The damage from last year’s strike consumed most of the cash flow GM would have otherwise generated in 2019. We had expected a strong bounce back in earnings and cash flow in 2020, but the annual guidance, while meeting Wall Street expectations, was worse than we expected. Further, the cash burned during the strike needed to be re-earned in order to protect GM’s investment grade rating. Pre-crisis, there would have been, at best, a minimal share repurchase late in the year. At the analyst day, our hopes that 2020 would finally be the year were dashed. We sold our stock. Over our five-year holding period, we made a 9.6% IRR on GM. In the difficult environment, its most comparable peer, Ford, lost about half its value.”

You can also take a peek at 10 Best EV SPACs to Buy Now and 10 Best Lithium and Phosphate Stocks to Buy Now.

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