So far in 2024, it looks like the electric vehicle (EV) market is running low on charge. Even mighty Tesla said its vehicle-production volume growth would be "notably lower" than in 2023. At 35% year-over-year growth last year, vehicle production was already lower than the 50% growth target Tesla has been aiming for.

Numerous headwinds have arisen. For Tesla, it's higher interest rates (which is making financing a new car more difficult for many consumers) as well as being in the midst of a transition to new vehicle models (like Cybertruck). For automakers in general, the higher interest rate environment is pairing with their own desire to manage near-term profitability, and so some legacy automakers are choosing to prioritize hybrid vehicles alongside their newer EV models.

It all adds up to a slowing EV market for 2024. But that doesn't mean growth is washed up. In fact, there could be a top stock that could win no matter how this market shakes out: ON Semiconductor (NASDAQ: ON).

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Source Fool.com