It's not easy being in the electric vehicle (EV) market right now. Sales so far in 2024 have lagged expectations, with some manufacturers pulling back plans to expand their electric vehicle lineup. But if you're a long-term investor, now could be the best chance in years to put some money to work. Out of all the EV stocks, one in particular has my eye right now.

A few years ago, the market couldn't get enough of EV stocks. Tesla shares, for instance, were testing new highs, while both Lucid Motors and Rivian Automotive (NASDAQ: RIVN) were going public with great fanfare. Since those highs, however, valuations have come down sharply. The price-to-sales ratio for Tesla has compressed by nearly one-third. Lucid and Rivian, meanwhile, have seen their valuation ratios decline by 90% or more, although this collapse is partially due to a sizable jump in sales since both companies went public.

The issue is clearly industry-wide. But despite a short period of declining sales for Tesla earlier this year, most manufacturers have continued to see rapid sales growth throughout this entire period. What, then, is the problem?

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Source Fool.com