EVStocks in 2024: The Next Big Thing

The electric vehicle (EV) revolution is in full swing, with India emerging as a key player in this global transformation. As the world's fourth-largest automobile market, India's shift towards electric mobility presents immense opportunities for automakers and investors. Considering the significant future growth potential of the sector, investing in EV shares is a good way to future-proof your investment portfolio.   

Top EV Stocks in India in 2024

If you are interested in investing in the fast-growing electric vehicle sector in India, here are some of the best EV stocks that you can consider including in your portfolio. 

1. Ola Electric Mobility Limited  

Established in 2017, Ola Electric Mobility Limited is a wholly-owned subsidiary of ANI Technologies, which is the parent company of the popular cab-hiring service provider Ola Cabs. Within just four years since its establishment, the company rolled out its first-ever electric scooters, the Ola S1 and Ola S1 Pro, in 2021. 

Ola Electric Mobility quickly revolutionised the electric two-wheeler space with its scooters. The company has an integrated manufacturing plant in Tamil Nadu and has R&D facilities in India, the UK, and the US. Recently, Ola Electric successfully completed an IPO on August 9, 2024, where it raised around Rs. 6,000 crore. 

The company is also actively developing three electric motorcycles, the Roadster, Roadster X, and Roadster Pro, which it unveiled to the public on August 15, 2024. With so much future growth potential, Ola Electric Mobility is one of the best electric vehicle stocks you can consider investing in.       

Note: Figures in parentheses represent negative values.

2. Tata Motors Limited

Tata Motors Limited, a household name in India's automotive sector, is a frontrunner in the country's fast-growing EV market. The company's early entry into the electric passenger vehicle segment has given it a significant first-mover advantage.

Tata Motors' EV journey began with the launch of the Nexon EV in 2019, which was hugely successful. The company then followed it up with EV versions of two of its other cars, the Tigor and Tiago, in 2021 and 2022, respectively. 

One of the factors that makes Tata Motors one of the most sought-after EV shares is that the company isn't just manufacturing EVs. In fact, it is building a complete EV ecosystem that includes investments in charging infrastructure, battery technology, and energy management solutions. On August 7, the company launched another car, the Tata Curvv EV, increasing the total list of EVs in its portfolio to five.   

3. Mahindra & Mahindra Limited

Mahindra & Mahindra Limited, another veteran in the Indian automotive industry, has also been making significant strides in the EV sector. Known for its rugged SUVs and commercial vehicles, Mahindra is leveraging its expertise to carve out a niche in the electric vehicle market. 

Mahindra's EV journey began with the acquisition of Reva Electric Car Company in 2010. The acquisition showcased its early recognition of the potential of electric mobility. After the acquisition, the company launched two cars, the Mahindra e2o and eVerito, both of which did not witness much success. Mahindra, however, has since recalibrated its EV strategy with the launch of the XUV400 electric SUV, which was finally well-received by the public. 

Additionally, the company has also unveiled its "Born Electric" platform, promising a range of purpose-built EVs designed from the ground up. This makes it one of the must-have EV stocks with good growth potential. 

4. Olectra Greentech Limited 

Olectra Greentech Limited is a leader in India's electric bus market. In fact, it is the largest pure electric bus manufacturer in the country. The company has a well-equipped manufacturing facility in Hyderabad. As urban centres across India look to electrify their public transportation systems, Olectra stands at the forefront of this transformation. This makes the company one of the most sought-after electric vehicle stocks in India. 

In addition to electric buses, Olectra Greentech is also pursuing the concept of electric trucks and electric tippers. The company also has a major market share in the EHV composite insulator market.  

Conclusion

With favourable policies, increasing environmental awareness, and rising fuel prices, the Indian EV market is poised for exponential growth. However, as with any investment, thorough research and careful consideration of your risk tolerance level are essential. Here is where the Research 360 platform of Motilal Oswal can help. The platform lets you conduct stock-specific fundamental analysis and sector-level analysis. With the various tools, you can easily determine attractive investment opportunities and make well-informed investment decisions. Make your way to the Research 360 platform today and become a better investor.