Stock LCID, RIVN and TSLA: What’s Next for the Top Three Names of Electric Vehicles in the Fastlane?

It goes without saying that electric vehicle inventories have been on fire in recent weeks. This is clearly evident from the performance of the iShares Self-Driving EV and Tech ETF IDRV in recent times. But it’s really visible in how the three most popular EV stocks among investors, Lucid LCID, Rivian RIVN, and Tesla TSLA have traded in recent weeks. All three prices have skyrocketed since October.

Why? Besides a general upturn in enthusiasm for EV stocks, this is thanks to factors as varied as the completion of a key milestone (in the case of Lucid), the IPO (in the case of Rivian ) and the publication of good results in the fourth quarter (in the case of Tesla).

As the LCID stock rally continues, RIVN stock retreats after its superb post-IPO rally, and TSLA stock attempts a recall after a hard sell, which of the three is the better buy? Let’s dive in and find out.

(Read more from Wall Street Memes: NVIDIA or AMD Stock: What’s the Best Buy Now)

Lucid stock

In the case of the LCID stock rally, it was a bit of a comeback story. Earlier this year, shares of this company (formerly a SPAC known as Churchill Capital IV) soared and sank, when traders bought on rumors of its merger with Lucid Motors (then privately owned) and sold on the news.

But after months of zigzagging between $ 20 and $ 30 per share, it started to take off again in late October. First, thanks to the news of the electric car maker making the first customer deliveries of its luxury EV Lucid Air. Then the rally continued, likely due to renewed optimism around Tesla, as well as developments such as Congress passing the $ 1,000 billion infrastructure bill.

On top of all this, the positive market reaction to its latest quarterly earnings report also prolonged this supercharged rally. So, after more than doubling the price in less than a month, is a downturn in order? Unless he releases new developments in the coming weeks, his latest rally could slow down or reverse – depending on whether the global buzz around EV stocks takes a break from here.

Stock Rivien

There’s no denying the role the global EV stock euphoria has played in helping RIVN stocks soar “to the moon” since its public market debut on November 10. shares of this electric vehicle maker (which has yet to sell a single vehicle) from its IPO price of $ 75 per share to $ 179 per share, in a matter of days.

But keep in mind Rivian’s high production capacity; the fact that the company has sold out its line of R1 trucks and SUVs until 2023; and its ambitions to produce 1 million vehicles per year by 2030. Valuing the company at over $ 100 billion may not be as absurd as it sounds.

Then again, the stock has sold sharply over the past few days, now trading at around $ 108 per share. This may indicate that the hype is fading a bit and traders are quickly taking profits. Stocks are likely to pull back further and stay there if this latest wave of euphoria over all things electric vehicles subsides further.

Tesla shares

A well-received quarterly earnings report, record delivery figures, and discussions of a fleet deal with Hertz HTZ, are what helped TSLA stock reach a four-digit price, as well as become a company of over one trillion dollars by market capitalization. .

But recent moves in Tesla stock have been as much a roller coaster as it is a ride. The TSLA rally came to a temporary standstill on Nov. 8, as news of CEO Elon Musk sold a multibillion-dollar block of his personal position in the electric automaker.

However, even this substantial amount of insider selling was not enough to fuel the optimism of investors on Main Street and Wall Street. An upgrade from an analyst, along with a tweet from Musk saying the company’s Model S Plaid will ‘likely’ debut in China early next year, convinced the market that the party won’t. is not yet complete. Even so, keep in mind that the feeling could easily turn back into a dime.

Twitter speaks

If you were to buy one of the three EV titles below and keep it for 12 months, which would be your first choice?

Get more expert analysis on electric vehicle inventory

It’s never too early (or late) to start growing your investment portfolio. Join the Real Money community for just $ 7.50 / month and benefit from expert advice from our team of over 30 investment professionals.

TheStreet's real money: try for free

(Disclaimers: This is not investment advice. The author may go along with one or more actions mentioned in this report. Additionally, the article may contain affiliate links. These partnerships do not influence editorial content. Please support Wall Street Memes)

Comments are closed.