EV stocks vroom up to 253% in 1 year. Should you invest?

economictimes.indiatimes.com:

Tesla chief Elon Musk's visit and potential investment in India and a slowdown in EV sales globally, longer-term investors are sensing enough opportunities in the Indian electric vehicles ecosystem. In the last year, EV-themed stocks have rallied up to 253% with at least 5 of them giving multibagger returns.

The possibility of US tariff actions on Chinese EV companies this week by the Joe Biden government will also attract market attention in the favour of Indian companies.

Shares of Hindustan Copper, which is seen as one of the beneficaries of the growing EV adoption, have rallied 253% in the last year. Other EV stocks that have more than doubled investor wealth in one year are Himadri Speciality Chemical, Servotech Power Systems, JBM Auto, and Exide Industries.


Homegrown Tata Motors dominates India’s EV market with its Tiago, Nexon, Tigor, and Punch models, followed by MG Motor India, and Mahindra & Mahindra.

M&M plans to launch five all-electric SUVs in India based on its new, purpose-built electric platform, INGLO, starting in December 2024.

«With incentives like a 5% GST rate and road tax exemptions, EV penetration in the luxury segment reached 4% in 2023. Tata Motors leads India's EV market with a 72% share, while Tesla dominates the US market with 55%, but Tata Motors prioritizes segment growth over market share dominance,» said Dr Nishant Srivastava, CEO, Torus Private Wealth.

Nomura analysts Indian OEMs have built strong competencies over the years and have demonstrated market share gains across