
These three EV stocks with high returns on capital are worth watching
Subscribe to enjoy similar stories.India’s electric vehicle (EV) sector has strong long-term potential, especially if crude oil prices remain elevated. Since India imports most of its crude oil, higher fuel prices translate to increased petrol and diesel costs, making EVs more economical for retail customers and commercial fleet operators.EV adoption is already accelerating in two-wheelers, three-wheelers, buses, and urban delivery fleets due to their lower running and maintenance costs.
Government incentives, battery manufacturing schemes, and a growing charging infrastructure are also supporting growth.Over the next decade, India could see a rapid electrification of public transport, logistics, and affordable mobility. Rising renewable-energy capacity also improves the long-term economics of EV charging.Here are three EV stocks with high returns on capital employed (ROCE) that are worth watching.
They all have an ROCE above 20% and a proven track record of profitability and dividends for the last three years. Some also have a presence in petrol and diesel vehicles.Olectra Greentech is India’s largest pure electric bus manufacturer, with manufacturing facilities in Hyderabad.
It is also India’s first ever electric bus maker, having manufactured and deployed several variants of such vehicles. The company is now expanding its product line in the e-mobility segment to include electric trucks and electric tippers – heavy-duty, battery-powered dump trucks designed for transporting and unloading materials.The company has an ROCE of 20.1% and has been consistently reporting profits for the past several years.The company delivered 385 EVs in Q3 FY26 compared to 282 in Q3 FY25, marking 37% growth.
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