Take advantage of the EV goldrush by completing the EV Trifecta
As you may already know, we are currently in the midst of an EV goldrush. Early adopters, investors, and gamblers will be rewarded for identifying these opportunities and capitalizing on them.
One way to ensure that you gain enough exposure to capitalize on this this gold rush is by completing the EV Trifecta, which are:
- EV Manufacturers
- Raw materials for batteries
- EV charging stations
I will go into a bit more detail on each component of the trifecta:
- EV Manufacturers – These are companies that develop and manufacturer EV for the public to new purchase. There is a lot of EV manufacturers that are going public, some of them will be achieve market dominance, while others will dwindle away *cough* NKLA. These are some of the EV manufacturers that are available for the public to invest in: TSLA, NIO, XPEV, KNDI, LI, SHLL, PIC, HCA(C), SPA(Q). Currently, TSLA is the market leader in this industry and also have the first mover advantage, and this is clearly reflected in their stock price. All the other EV manufacturers are up and coming and will have lots of run room as EVs become more prevalent in our day to day lives.
- Raw materials for batteries – The logic here is that as demand for EV increase, so will the demand for the raw materials used to create the batteries for the EVs. Simple economics 101 states that as demand increase and supply decreases, price should increase accordingly. These are the current raw materials companies that have a spotlight on them: LA(C), VAL(E), PLL. PLL is the only raw materials company that have a public contract with TSLA and has been halted for weeks because of this news. PLL will definitely be a hot buy once it unhalts.
- EV charging stations – In order for EVs to be come more prominent in our day to day lives, there needs to be a proper infrastructure that will enable that. One of the biggest concerns in regards to EV is range anxiety – drivers don’t want to be left stranded if they forget to charge their vehicles overnight at home. Having charging stations that are widely available will help combat this risk. The EV charging station market is relatively untapped, and this market will grow along side the EV market. The key players in the EV Charging station are SBE, BLNK, SPl. SPl had an insane run up last week when they announced their EV initiative, their share price increased over 3000% from $1.50 to over $40 (this was short lived though). BLNK is a mixed bag, there are some complaints in regards to the quality of their charging stations, but hopefully they’ll improve over time. SBE is a SPA(C) merger to bring Chargepoint public. Similar to TSLA, Chargepoint is the market leader in the charging station space and also have the first mover advantage. Chargepoint currently has hundred of thousands of charging stations across North America (US and Canada) and is expanding into Europe. Their products can be purchased via their home website or Amazon and have great reviews online.
By completing the EV Trifecta you’ll ensure you have proper exposure to the EV goldrush. I’m sure I missed a few companies, so please feel free to mention them and add any additional details that I might have missed.
Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence or consult your financial professional before making any investment decision.