3 EV Stocks to Buy ASAP Before Demand Ramps Right Back Up

Since the beginning of 2024, concern for the electric vehicle (EV) market has risen while many EV stocks have trended downward. After enjoying a red-hot surge of enthusiasm, the sector has definitely cooled. These days, car buyers seem more keen on hybrids than even the trendiest EVs. Additionally, some of the EV sector’s leading names — including Tesla (NASDAQ:TSLA) — have opted for layoffs this year, casting further doubt over the space’s growth prospects. At this point, some investors are likely wondering whether they should even be thinking about the best EV stocks to buy for the second half of the year.

The answer to that question? Yes, they should. According to The Economist, concerns regarding EV demand are premature. In fact, the outlet predicts that the industry may be on track to turn around and shake off the current slump to emerge even stronger than before:

“One reason for optimism is that the recent slowdown partly reflects cyclical factors. Sales grew rapidly in 2021 and 2022 as cash-rich consumers went on a post-pandemic spending spree. Many [EVs] that are not being bought now were purchased back then—as were lots of laptops, smartphones and other durable gizmos that are now languishing. Higher interest rates mean that Americans who paid less than 5% a year on a car loan two years ago now have to pay more than 8%. That is a problem, especially when in many places the typical [EV] remains 40-60% pricier than its petrol-powered alternative.”

In addition, The Economist notes that the costs of certain materials essential for EV production are falling. This helps undermine former President Donald Trump’s anti-EV stance.

If these predictions are correct, the EV market could indeed start to recover. In fact, it may be on the fast track to doing so already. This means that investors have a key opportunity to snap up a few promising players before they rebound.

Best EV Stocks to Buy: Rivian (RIVN)

Source: Michael Berlfein / Shutterstock.com

This prominent electric truck maker has struggled lately, mostly trending downward throughout the past six months. But Rivian (NASDAQ:RIVN) isn’t a name to count out. Despite its poor performance of late, RIVN stock has managed to make up some ground over the past week, even after announcing its second round of layoffs this year.

This momentum is due in part to some recent positive catalysts. For example, Rivian just announced an exclusive partnership with MEVCO (which stands for Mining Electric Vehicle Company) to provide the firm with its EVs.

Rivian has also been focused on growth this year, rolling out a new line of lower-priced EVs at a time when lower prices are certainly needed. The company can also boast sufficient cash reserves, which should help it continue operations long enough to remind investors it’s still one of the top EV stocks to buy, even amid bleak market conditions.

Beam Global (BEEM)

Source: shutterstock.com/JLStock

We can’t talk about the best EV stocks to buy without discussing EV charging. That’s where Beam Global (NASDAQ:BEEM) comes in. This company is emerging as one of the more dominant players in the EV charging and infrastructure space, surpassing many competitors. Currently, Beam is one of the only companies in its niche that trades above penny stock price levels (although it does have a market capitalization below $100 million).

Things are looking good for Beam on multiple fronts. As InvestorPlace contributor Ian Cooper reports:

“Since bottoming out, [BEEM stock is] now back to $6.20 and accelerating. All after the company’s fourth quarter revenues hit a record high of $20 million, which was up 153.2% year over year, and beat expectations by $1.76. million. And while its net loss came in at $5.1 million, it was a 74% year-over-year improvement.”

Financial growth aside, Beam Global also recently received a new patent regarding its wireless charging technology. Combine that with the fact that the company is currently expanding into Europe and investors have a recipe for big potential when it comes to BEEM stock.

EV Stocks to Buy: General Motors (GM)

Source: Jonathan Weiss / Shutterstock.com

While General Motors (NYSE:GM) isn’t strictly an EV producer, it offers investors significant exposure to the market. Indeed, the Motor City giant is heavily invested in procuring its share of the EV market — specifically by taking many of its iconic cars electric. GM’s brand portfolio includes Chevrolet, Cadillac and GMC (to name just a few) and GM is focused on making electric versions of some of their most popular vehicles. The company recently announced that it has high hopes for the new electric Chevy Equinox, which will have a low price point of roughly $35,000.

Another development that hasn’t received much attention is the fact that Cruise, GM’s robotaxi arm, has plans to resume operations. General Motors is also venturing into the EV charging space through its SAIC-GM joint venture, which recently partnered with Chinese EV producer Nio (NYSE:NIO).

As it stands, this legacy automaker has plenty to help it ride the next EV demand wave to new heights.

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On the date of publication, Samuel O’Brient did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.