sto monitorando RIVN
3 No-Brainer EV Stocks to Buy With $1,000 Right Now
28/04/2024 17:32 - MTFL
Many electric vehicle (EV) stocks crumbled over the past year as the market cooled off and rising interest rates compressed their valuations. But according to Precedence Research, the global EV market could still expand at a compound annual growth rate (CAGR) of 23.4% from 2024 to 2032 as EVs gradually replace gas-powered vehicles.
Therefore, the recent sell-off in EV stocks might represent a golden buying opportunity for value-minded investors who can look past the near-term headwinds. Today, I'll dig deeper into three beaten-down EV stocks --
Rivian Automotive (
RIVN.O),
Nio (
NIO.N), and
ChargePoint Holdings (
CHPT.N) -- and explain why they might generate multi-bagger gains from a modest $1,000 investment over the next few years.
1. Rivian Automotive
Rivian produces electric pickups, SUVs, and a custom electric delivery van (EDV) for its top investor,
Amazon. It produced 24,337 vehicles in 2022 even as it grappled with supply chain constraints. It then more than doubled its production to 57,232 vehicles in 2023, and revenue rose 167% to $4.43 billion last year.
Despite that accelerating growth, Rivian's stock trades nearly 90% below its initial public offering (IPO) price, and many investors remain bearish on Rivian for two reasons. First, the company expects to only produce 57,000 vehicles this year as it faces tougher macro headwinds and temporarily shuts down its main plant in Illinois for a few weeks to streamline its production and integrate new technologies. Second, it racked up a staggering net loss of $5.43 billion in 2023.
However, Rivian's stock looks cheap right now at less than 2 times this year's sales. It still had $10.5 billion in total liquidity at the end of 2023, and its low debt-to-equity ratio of 0.8 still gives it a bit of breathing room to raise fresh cash. It's also obligated to deliver 100,000 EDVs to Amazon by 2030. So if you believe Rivian can ramp up its production and fulfill all of those orders over the next few years, it might be a great time to buy its beaten-down shares.
