Shares of electric vehicle companies rose Wednesday, as President Biden’s latest infrastructure program includes $174 billion of support for the industry.
“U.S. market share of plug-in electric vehicle sales is only one-third the size of the Chinese EV market,” the White House said in a statement. “The president believes that must change. He is proposing a $174 billion investment to win the EV market.”
Cramer shared his top three plays for EV stocks and how he would trade them moving forward. He said he likes QuantumScape, Fisker, and Lucid Motors.
Here is a list of the electric vehicle stocks to watch and their performance from the past week by percentage change at the close of trading on Wednesday:
Tesla | +6.20%
Tesla (TSLA) – Get Report is expected to have delivered 174,000 new cars in the first three months of 2021, well above what it churned out a year ago, but short of what it produced and sold in the fourth quarter of last year.
Tesla’s deliveries numbers will be almost double the 88,400 vehicles it delivered in the same quarter a year ago though less than the 180,667 cars that rolled off its assembly lines in the preceding quarter.
The company is reportedly building a new Tesla semi-truck production line at a new building near its Gigafactory Nevada plant, and the electric vehicle maker plans to produce five electric trucks per week.
Tesla recently traded with higher shares at $656.69, providing a boost to the S&P 500.
TheStreet Quant Ratings rates Tesla as a Hold with a rating score of C.
Ford | +1.85%
Ford (F) – Get Report idled its production of the F-150 through this past week at its Dearborn, Michigan plant due to the global chip shortage. A spokeswoman declined to tell Reuters how much volume would be lost.
The company is currently testing a flexible hybrid work model, which will allow staff to primarily work from home and come into the office only when it’s necessary.
The recent Bandemer v. Ford trial secured a unanimous opinion that Ford cannot limit the ability of injured individuals to hold manufacturers accountable for defective products by restricting where those lawsuits can be filed.
Kaster, Lynch, Farrar & Ball trial lawyers have won an important U.S. Supreme Court victory, as the case impacts a wide range of product defects and personal injury litigation.
TheStreet Quant Ratings rates Ford as a Hold with a rating score of C.
General Motors | +3.54%
Also, Moody’s changed its outlook to stable from negative after GM “maintained sufficient liquidity and demonstrated the operating flexibility to weather the drop and then recovery from the COVID-induced pandemic.”
TheStreet Quant Ratings rates GM as a Buy with a rating score of B.
NIO | +5.55%
NIO (NIO) – Get Report, a pioneer in China’s premium smart electric vehicle market, announced this past week that it has decided to temporarily suspend the vehicle production activity in the JAC-NIO manufacturing plant in Hefei for five working days starting from March 29 due to semiconductor shortage.
The overall supply constraint of semiconductors has impacted the company’s production volume in March 2021. It expects to deliver approximately 19,500 vehicles in the first quarter of 2021, adjusted from the previously released outlook of 20,000 to 20,500 vehicles.
While the electric vehicle maker is up big over the past year and up massively from its low in the fourth quarter of 2019, bulls have been struggling lately. At its recent low earlier this month, shares were down more than 50% from the high set in January.
TheStreet Quant Ratings rates NIO as a Sell with a rating score of E+.
Fisker | -1.53%
Cramer said he remains excited about electric vehicles, and he’s still a believer in Fisker.
Lordstown Motors | +3.89%
Lordstown Motors (RIDE) – Get Report was clawing back some losses from the past couple of weeks when the stock dropped more than 13% after revealing it was being probed by the Securities and Exchange Commission regarding a highly critical report on the company by short-seller Hindenburg Research.
In November, Cramer interviewed Lordstown Motors CEO Steve Burns, who indicated the company had orders for 500 vehicles at a time, all of which were signed by CEOs. However, it’s been learned that many of those orders may only have been letters of interest.
Investors were reminded this past week that the company is being sued for misleading shareholders. A purchaser of Lordstown Motors filed a class action complaint against the Company and its officers and directors for alleged violations of the Securities Exchange Act of 1934 between October 26, 2020, and March 17, 2021.
Nikola | -0.58%
South Korea’s Hanwha Group, a corporate backer in Nikola (NKLA) – Get Report, announced that intends to sell half its stake in the electric truck-maker. An SEC filing said Hanwha plans to sell about 11 million shares of Nikola.
Nikola filed with the Securities & Exchange Commission to sell $100 million worth of shares in a secondary offering.
XPeng | +17.46%
Plug Power | +8.25%
A class-action lawsuit has been filed against Plug Power (PLUG) – Get Report and certain of its officers. The complaint alleges that throughout the Class Period, defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the company’s business, operations, and prospects.
TheStreet Quant Ratings rates Plug Power as a Sell with a rating score of D.
QuantumScape | -5.60%
The San Jose, Calif., company also plans to give the underwriters an option on 1.95 million more shares.
Canoo | -29.73%
Shares of Canoo (GOEV) – Get Report on Tuesday lost more than a quarter of their value after the electric-vehicle maker did not report revenue for the December quarter and was downgraded at Roth Capital.
The Dallas company said that it planned to deemphasize its contract-engineering-services line, which led Roth analysts to downgrade the stock to neutral from buy. They slashed their price target on the stock to $12 from $30.
Canoo debuted its fully-electric pickup truck earlier this month and while some loved the look, others didn’t.
Currently, Canoo generates revenue through its engineering services. It projects 2021 revenue from this segment of the business at $150 million, and $450 million by 2024. In 2022, it will roll out its B2C platform estimated to add $1.2 billion in revenue by 2025, with a growth rate of 147% per year.