I have recently tried consolidating my profits, selling some of my shares after they performed well (just to share with you that I am currently still at a loss, but have managed to reduce it). Notably, my EV stocks like $NIO Inc.(NIO)$
That being said, I'm not going to throw all in as I believe that there will be a time for consolidation. Generally, I believe EV stocks will go up as the world makes the switch to greener options. It is believed that EVs reduce green house gas pollution by a large percentage (I will not put the percentage here as this is debatable). EVs will also be mandated over internal combustible engine (ICE) cars.
Thus, I believe that to invest in this, one needs to be consistent (slowly accumulate these stocks) and only spend what you can afford (this means allocating some money for savings and daily expenditures). Why? I believe this investment will only come to fruition in the next 5 - 10 years. This is when ICE cars will no longer be allowed on roads (due to government laws or higher taxes) and the infrastructure to support EVs are constructed across the country globally. This will make owning an EV more convenient. In a country like Singapore, the government has started offering tax rebates for EVs, which incentivises drivers to save because of its current high cost certificate of entitlement (which all drivers must bid for).
In my recent trip to San Francisco, I saw that the future has taken a leap forward with driverless cars. Cars like Waymo were plying the streets and bringing passengers around without a driver at the helm. To me, it was my first time seeing a private hire car driving passengers around (I had seen such buses before on a controlled route but this was on a public road). Indeed, this shows me that the future is already at my door step and convinces me to buy more EV stocks.
The challenge? Which company? While Tesla may seem like an obvious choice, I am urged to remind myself that there are many companies catching up and reinventing themselves with other incentives. Nio has swappable batteries while Byd has a lower cost (in general). Perhaps a better option would be to not concentrate on one basket of eggs? Well, only time will tell.
Comments
18 Billion in annual sales deserves a $90B valuation. Discount by 50%, $45B. NIO looks cheap here trading at about 1.5X sales. We should see a near-term doubling to about $30/share.
The tesla semi was announced in 2016, since then they've made so, so , so many of them. Like 35 of them!!! I mean volvo has sold over 5000 ev truck since then, with a 1000 new order just recently, but errrr we can't trust that data. Because of "insert conspiracy theory here"
NIO - CATL and Shell and Sinopec will dominate the EV Power for decades. They have zero competition that matches their scale, technology and thousands retail prime highway locations.
Many thought the market had finished running after such an awesome first half of the year. They will be left behind! This is the year of change:) TSLA's the boss baby!
I'm jumping in at $150s to $160s unless QElon starts playing the fool even harder. ๐ฆ๐๐๐
Tesla above $240.00 .. still alive, not quite dead yet.