The 1999 Warren Buffett Quote That Should Terrify EV Investors

Investors have recently become very enthusiastic about electric vehicle companies. Thanks to vast improvements in battery technology over the past decade, EVs are now getting closer to cost parity with gas-powered internal combustion engines. When you combine that with concerns over global warming and the trend toward ESG investing, the growth prospects for EVs, which only have a 2.8% share of new vehicle sales today, seem bright indeed.

But before you invest in any of the EV companies out there -- many of which are now going public to raise money at favorable valuations -- heed Warren Buffett's 1999 warning about investing in growth industries. He gave the warning during the 1999 Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) annual meeting on the eve of the dot-com bust, but the concept still applies today.

Buffett is generally not a fan of the auto industry. Image source: The Motley Fool.

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Source Fool.com