Tesla is widely known as being a successful manufacturer of electric cars. So for people wanting to pursue investment opportunities in the electric car arena, Tesla is usually the first company that comes to mind. While the manufacturer offers plenty of value, investors may find more financial success by looking at the components of what makes the electric cars operate. Consider these points as you think about investment opportunities in the electric car market.
Invest In The Brains Of Electric Vehicles
The brains of electric vehicles include components like computer chips, batteries and other parts that make these types of vehicles possible. For example, Nvidia is a company that produces chips to make electric cars work. Albemarle is a company that produces the lithium that goes into the batteries for the vehicles. BorgWarner is already a reputable company known for manufacturing engines in gas-powered vehicles and they now manufacture components for electric vehicles. With the global sales outlook appearing to be promising, component manufacturers provide positive investment opportunities now and for the future.
Invest In Electric Vehicle Manufacturers
Tesla is considered the gold standard in electric vehicle manufacturers, but it still comes with plenty of challenges and risks for investors. While the company has largely been its own competition, more competition is expected globally in the near future. However, one of the risky aspects of investing in a company like Tesla is the uncertain viability of the electric car market due to high consumer prices. With more competition on the horizon combined with advanced technology potentially lowering manufacturing costs, now may be a great time to pursue investment opportunities in electric vehicle manufacturers, including Tesla.
Do Electric Vehicles Provide Good Long-Term Investment Opportunities?
Many investors are expecting to see financial success by investing in electric vehicles. The trends are promising, as global sales reached $1 million in 2017 and expected to approach $4 million by the end of 2020. Future projections even indicate the number rising to more than $20 million in annual sales by the end of the decade. The biggest market for electric vehicles currently is in China, with Europe and the United States following.
Experts believe the prices of certain models of electric cars could plummet as low as some gasoline-powered vehicles by the year 2022, which is expected to increase the demand significantly. Considering the number of people interested in buying an electric vehicle continues to increase yearly, the low prices may not only increase the number substantially but also push many people towards buying them.
Stock Investing Info is watching the electric vehicle market closely to help investors have more financial knowledge about the industry. The numbers in virtually every category continue to climb and it’s clear the potential investment opportunities are significant. There are still a lot of questions to be answered and risks to be assessed concerning investing in the electric car industry, but we are here for you. Be sure to contact us if you have any questions, concerns or thoughts about where to begin with this investment area.