3 Best Electric Stocks To Invest (2021)

 I am sure that you too must be looking for the answer to this question which are the best EV stocks to invest in for the future. Given the potential for growth in the electric vehicle sector, these questions are also reasonable.

Today we will talk about only 3 Best EV Stocks in which you can invest according to the future.

Prospects of Electric Vehicle Industry in India

In today's time, all the experts are talking about EV stocks only. This is because the Government of India and the people are committed to the Green Revolution. The government is planning to electrify the entire vehicle segment in the next decade under green mobility.

Vehicle sector in India is a very big industry in which huge cash inflow is expected in the coming times. Electric cars, scooters, bikes and component batteries in the electric segment all have room to boom.

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At the same time, all vehicle manufacturing and component manufacturing companies are committed to stay in the competitiveness of electric vehicles.

Best EV Stocks in India to Invest 

Here we will talk about Top EV Stocks, which are expected to rise in the coming time. Also, those who have the ability to make good money to the investors.

1. Tata Motors

Tata Motors is the largest and leading automobile company in the country. Tata Motors has a huge global network.

This company has shown maximum interest in the Electric Vehicle segment. The company is trying to capture maximum market share in the domestic market. Recently Tata Motors onboarded its 10,000th electric customer. This means that considering the huge potential of the EV segment, the company has started working accordingly. Tata Motors produces Cars, Trucks, Buses, Vans, Heavy Cars.

The market capitalization of Tata Motors is more than one lakh crore. The company has reduced its losses significantly in the last year, which is a sign of the company coming back on track.

Positives –

The promoters of the company have increased their stake by about 5% in the last 2 years taking the promoter holding to 46.41%. This means that the promoters of the company are optimistic about the future of the company.

The company has a strong infrastructure for the production of electric vehicles.

Negatives –

Tata Motors over ₹ 21,748.72 Cr. Has a loan. But the company's management is confident of becoming debt free in the next three years.

The company's management has told that the company is going to have a shortage of semiconductors in the next two quarters. This will have a negative impact on the production capacity of the company. However, these can be an opportunity for long term investors to buy the stock at a cheaper price.

Tata Motors has gone through a downturn in the last few years. Because of this, the company's share price had gone down to only ₹ 63 in March 2020. But being at the forefront of the electric sector, Tata Motors can prove to be a good bet for investors in the coming few years.

2. Tata Power

Tata Power's name will definitely be there in Best EV Stocks in India. Tata Power is a company of the Tata Group. This company is an integrated power company working in power generation, transmission, power trading business.

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This company can be your choice in the electric vehicle sector. As part of the strategy, Tata Motors will sell electric vehicles while Tata Power will build infrastructure for charging these vehicles. Tata Power is in the business of Renewable Energy which are committed to manufacturing EV Charging Stations.

The company launched its first public charging station in August 2017. Presently the company has 600 charging stations in 92 different cities. The company has also launched a mobile app to find the charging station.

For this, the management of Tata Power is also working on setting up charging stations in an aggressive manner. At present, Tata Power has about 53% of all the charging stations in the country.

Tata Power is working in all types of segment for charging accessories like –

  1. EV public charging
  2. Captive Charging
  3. home charging
  4. workplace charging

Positives –

The promoter holding of the company has increased from 33% to 46.86% in the last two years.
Expected to capture majority of the market share of charging stations in the coming time.

Negatives –

Company has over ₹ 15,189.05 Cr. Has contingent liability.
Also Tata Power ₹ 20,551.76 Cr. buried under the debt of

3. Mahindra & Mahindra

Mahindra & Mahindra is an auto maker company whose business is spread in many different sectors. Its consolidated business includes Tech Mahindra, Mahindra Logistics, Mahindra Finance. The company mainly manufactures passenger vehicles and tractors. Mahindra & Mahindra has a market share of around 7.1% in Passenger Vehicles.

This company had brought its first electric car in 2001, which was named Mahindra Reva. This means that the company had already started focusing on the electric vehicle segment. Apart from this, the company is manufacturing 5 other electric vehicles.

Recently Mahindra & Mahindra has also set up its Research and Development Center for Electric Vehicles in Bangalore.
Presently the market cap of the company is more than one lakh crores. Company has over ₹ 7,666.81 Cr. Debt of. In the recent past, the company has significantly reduced its debt.

Positives –

The company is already engaged in manufacturing of electric vehicles.
Mahindra & Mahindra has a market share of around 40% in the tractor segment, 47% in the light commercial vehicle and 62% in the pick-up segment.

Negatives –

Mahindra & Mahindra has a market share of around 7.1% in Passenger Vehicles which is the dominant segment. Low market shares are a matter of little concern.

Conclusion – Best EV Stock in India

The electric vehicle industry is going to boom in India in the coming times. According to some experts, there can be a jump of up to 40% in this sector. That's why many investors are also planning to invest in the stocks of this sector and are also investing in different stocks.

If seen, this sector is still in its early stages, due to which there is a lot of growth potential in it. That is why it can be beneficial to invest now by identifying the right possibilities.

Disclaimer – All these stocks are mentioned for your information only, they are not investment advice. Before making any investment, consult your financial advisor or do your own research.