Are You Still Chasing The Momentum From Electric Vehicle Stocks?
Electric vehicle stocks have taken the market by storm and penny stocks have been some of the biggest winners of the bunch. You can look at names like Blink Charging (BLNK Stock Forecast), Electrameccanica Vehicles (SOLO Stock Forecast), and even Nio (NIO Stock Forecast) and you’ll see what I’m talking about. All of these former penny stocks gave an answer to the question: “What are the best EV stocks to buy now?”
That was earlier this month and this year that we saw these former electric vehicle penny stocks graduate from sub-$5 levels. NIO stock, for instance, climbed all the way to highs of $54.20 this month ahead of its earnings release. SOLO stock jumped from just $2.88 to highs of $13.60 between November 2nd and November 20th.
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It may also be hard to believe but BLNK stock was trading around $1.30 earlier this year. In November, the electric vehicle charging stock hit a high of $24.84. While this speaks volumes to the sentiment surrounding electric vehicle stocks right now, traders are still hungry for more it would seem. Are there any EV penny stocks left to choose from? That depends on what you’re looking for. You should also be aware that this niche in the market has been very hot. So, euphoria may have become a bigger driver than actual fundamentals. Understanding how to properly trade penny stocks, make money, and avoid trading with emotions is key right now.
Do Electric Vehicle Stocks Have More Power Left?
Most traders have simply put in a search for “electric vehicle stocks to buy now” and likely came across any company mentioning the two words “electric” and “vehicle”. This returns any and every company with an LOI or MOU in place. What it also returns is a list of penny stocks that have some exposure to EV.
It might be mining things like lithium or manufacturing different pieces of cars or automotive tech themselves. Whether or not this recent surge of interest in EV stocks sustains this week is yet to be seen. Just remember that with any hyped-up sector, volatility can play a big role in increasing the risk level of certain stocks. What we can see is that the conversation about EV stocks hasn’t subsided over the weekend. With this in mind, here are a few electric vehicle stocks that may have gone unnoticed last week.
Electric Vehicle Penny Stocks To Watch: Medigus Ltd.
Medigus Ltd. (MDGS Stock Report) may be on the speculative side of this list of EV penny stocks. I say that because not that long ago it was working on medical applications. Last week the company announced a memorandum of understanding with the founders of EMuze to invest in a joint venture for commercializing EV micro-mobility vehicles for individual urban use, “last mile” and cargo delivery. EMuze designs and develops electric mobility micro vehicles.
What’s more, according to the company, is that EMuze has already signed a manufacturing agreement with Ningbo Beijing Shen Jian Machinery Technology, which manufactures high-end scooters, E-mobility and skiing machines. While the initial deal, if made definitive, would see Medigus with a passive stake of 19.99% in the venture, there would be an option to bump that up to 50.1% with additional investment.
Late last week, MDGS stock surged on this news. It will be interesting to see if the heightened attention on EV stocks will transfer into MDGS at the start of the week or not.
Electric Vehicle Penny Stocks To Watch: DPW Holdings
DPW Holdings (DPW Stock Report) is another one of the companies that have been a chameleon when it comes to new market trends. A few years back, it was focused on bitcoin, earlier this year it was focused on fintech & defense applications, and most recently it appears to follow the same path as Blink Charging.
Earlier this month the company agreed to acquire Relec Electronics Ltd. based in England through its its global defense business, Gresham Worldwide. Relec is a supplier of power conversion and display technology products. While this deal is expected to be immediately accretive to the bottom line, more focus recently has been on DPW’s EV side.
In October, the company’s Coolisys Technologies began accepting preorders for its level 2 residential electric vehicle wall mount charging system. In the company’s most recent quarterly update, DPW’s CEO and Chairman, Milton “Todd” Ault, III weighed in on the company’s recent advancements.
“At the beginning of 2018, we stated that our long-term goals include growing our consolidated business to $100 million in annual revenues. We believe we are making progress towards this goal with our significant order backlog, improved capital structure, growth in the defense business, and new product announcements such as the Coolisys electric vehicle chargers.”
But, keep in mind that this is a very volatile penny stock as it has fluctuated greatly over the last few months.
Electric Vehicle Penny Stocks To Watch: Platinum Group Metals
Platinum Group Metals (PLG Stock Report) is one of the stocks I was talking about with exposure to the space but one that doesn’t necessarily produce the vehicles themselves. The company focuses on producing platinum and palladium. In 2019, the company founded Lion Battery Technologies Inc. in partnership with Anglo American Platinum Limited to support the use of palladium and platinum in lithium battery applications. Obviously, attention on lithium battery stocks isn’t as high as automakers themselves. However, assuming the expected uptick in electric vehicles in the future, raw materials will be in demand.
Right now, Platinum Group Metals could be one of these ancillary electric vehicle stocks to watch for this reason. In October, the U.S. Patent and Trademark Office issued Patent No. 10,734,636 B2 entitled “Battery Cathodes for Improved Stability” to Florida International University. Under a sponsored agreement, Lion holds exclusive rights to all technology being developed by FIU included patents granted. The patent includes the use of platinum group metals and carbon nanotubes among other things in a lithium battery.
Electric Vehicle Penny Stocks To Watch: CPS Technologies Corporation
CPS Technologies Corporation (CPSH Stock Report) manufactures products used in motor controllers for hybrid and electric vehicles among other applications. Similar to PLG, CPSH stock may have benefited from the surge of interest in any stocks related to the EV space.
Aside from sector sympathy, CPS has also demonstrated stronger operating results this year even amid the pandemic. In its most recent quarterly report, the company recored an earnings per share of $0.02. This was up significantly from the 4 cent loss per share during the year prior. Sales also gained compared to last year coming in at $4.5 million compared to $4.39 million last year.
Electric Vehicle Penny Stocks To Watch: Ferroglobe PLC
Ferroglobe PLC (GSM Stock Report) caught a surge of momentum on Friday amid the EV boom. The company makes specialty alloys that can be used in numerous end markets, like solar, automotive, and consumer products. While this is just one small piece of the ecosystem it may have a place right now.
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Tesla, for example, plans the development of a larger cell that includes fundamental changes to both the anode and cathode. The company is looking to use silicon in its anodes. That’s because the metal can supposedly store nine times as many lithium ions as traditional graphite. What’s more is that Drew Baglino, Tesla’s head of powertrain and energy engineering, has even cited the potential of silicon in LI batteries. He’s said that using silicon could expand the range of electric vehicles 20%.
Another thing that the company produces is manganese. This is another element that has been used in lithium-ion manganese batteries. Given the relation of these metals to the EV space, will GSM stock catch some of the momentum from the latest run in electric vehicle stocks?