Electric Vehicles (EVs)

Top auto stocks for EVs that may give a good return

Amit Srivastava

Twitter: s_amit007

If an investor had bought Eicher Motors share in 2001, instead of its Royal Enfield motorbike, its Rs 60,000 would be grown up to Rs 7 crores in 2021. You must have heard such stories. While a product’s value depreciates every day, a company’s shares with strong management and vision grow every day.

Even if you missed the earlier opportunities, you have another chance to become a millionaire. We are aware that the government is focusing on environmental friendly and sustainable energy sources. If the government has to meet the target of zero-emission by 2070 as promised by PM Narendra Modi at COP 26 climate summit in Glasgow, it can be done by promoting electric vehicles.

After central government push, many states have already come up with electric vehicles (EVs) policy like Maharashtra. Apart from providing subsidies in buying two-wheelers and four-wheelers, they are also concentrating on creating infrastructure like setting up charging stations.

Shares linked with EVs and performance in the last one year

Shares	% Change three months	% Change Six Months	% Change One Year	Share Price as on December 30 (Rs)
Tata Motors	63.6	39.4	162.5	472.10
Olectra Greentech	139	348	582	764
JBM Auto	140	159	287	1065
Ashok Leyland	1.5	-4.7	28.7	120.75
SML ISUZU	17	37.2	29.2	627.05
Eicher Motors	-12.5	-10.3	-3.5	2547.45
M&M	9.6	2.6	9.7	830

 

Experts believe that the next decade will be dominated by stocks that are directly or indirectly involved in EVs manufacturing or associated. In the commercial vehicle space, the top EV stocks are JBM Auto, Ashok Leyland, Tata Motors, Olectra Greentech, SML Isuzu, Eicher Motors, and M&M.

Several government agencies have already started buying battery-run vehicles like buses for public transports. JBM Auto has a good presence in the manufacturing of electric buses. Now, Ashok Leyland has also decided to foray into EVs. Companies mentioned above are also pushing hard to get business from the government.

While unfolding EVs policy, Aditya Thackeray, Maharashtra environment minister announced that by 2028 the entire public transport buses of Mumbai will be electric.