1 Electric Vehicle Stock to Buy Hand Over Fist and 2 With Serious Red Flags
Electric vehicles have gone from a backwater industry to a full-blown revolution over the last few years. Spurred on by the huge growth of Tesla, companies have committed to investing tons of money into the fast-growing sector of the economy. So much so that Ark Investment Research estimates that global automakers have committed to investing $1.2 trillion in electric vehicles, up from just $90 billion four years ago. Start-ups and legacy automakers alike are going full throttle into this new market, and investors have gone into a frenzy buying these stocks for their portfolios.
But how do investors separate the wheat from the chaff? Here's one electric vehicle (EV) stock to buy right now, and two that will likely be poor investments going forward.
An EV stock with great prospects is Rivian Automotive (NASDAQ: RIVN). The stock went public at a bubbly valuation of $100 billion in 2021 but has since come back down to earth to a market cap of $29.3 billion. The company makes premium EVs with three initial vehicles that include an SUV, truck, and commercial delivery van.
Source Fool.com
