President Joe Biden and republican leaders are negotiating on the President’s $2 trillion Infrastructure Plan. One of the biggest beneficiaries of proposal could be Electric Vehicles (EV). The plan would allocate $174 billion towards electric vehicles, “including grants and incentives for public and private entities to build a network of 500,000 charging stations by 2030.” (1)
With or without the infrastructure plan, the electric vehicle market is forecasted to experience significant growth through 2030. In a report on the sector, Deloitte predicts. (2)
“Our global EV forecast is for a compound annual growth rate of 29 per cent achieved over the next ten years: Total EV sales growing from 2.5 million in 2020 to 11.2 million in 2025, then reaching 31.1 million by 2030. EVs would secure approximately 32 per cent of the total market share for new car sales (see figure 2). Annual car sales are unlikely to reach pre-COVID-19 levels until 2024. However, the pace of recovery is forecasted to be a result of a slowdown in ICE sales; EVs will continue to have a positive trajectory during the COVID-19 recovery period and may well end up capturing a disproportionate share of the market in the short term.”
EVs and related business offer investors the opportunity to find high growth opportunities. We’ve identified five companies that are forecasted to increase sales by 90% or more in 2022 compared to 2021.
Hyliion Holdings Corp. (HYLN)
Forecasted Sales Growth for 2022: 2,676.50% (3)
Hyliion Holdings’ mission is to reduce the carbon intensity and greenhouse gas (GHG) emissions of Class 8 commercial trucks by being a leading provider of electrified powertrain solutions. Leveraging advanced software algorithms and data analytics capabilities, Hyliion offers fleets an easy, efficient system to decrease fuel and operating expenses while seamlessly integrating with their existing fleet operations. Headquartered in Austin, Texas, Hyliion designs, develops, and sells electrified powertrain solutions that are designed to be installed on most major Class 8 commercial trucks, with the goal of transforming the commercial transportation industry’s environmental impact at scale.
Lordstown Motors Corp. (RIDE)
Forecasted Sales Growth for 2022: 1,259.30% (4)
Lordstown Motors is an Ohio-based original equipment manufacturer of light duty fleet vehicles, founded by CEO Steve Burns with the purpose of transforming Ohio’s Mahoning Valley and Lordstown, Ohio, into the epicenter of electric-vehicle manufacturing. The company owns the 785 acre, 6.2 million square foot Lordstown Assembly Plant where it plans to build the Lordstown Endurance, believed to be the world’s first full-size, all-electric pickup truck designed to serve the commercial fleet market.
Nikola Corporation (NKLA)
Forecasted Sales Growth for 2022: 1,133.70% (5)
Nikola Corporation designs and manufactures battery electric and hydrogen-electric vehicles. They operate in two business units, Truck and Energy. The Truck business unit develops and commercializes battery electric vehicles, hydrogen fuel cell electric vehicles, vehicle components, and class 8 trucks that provide solutions to the short-haul, medium-haul, and long-haul trucking sector. The Energy business unit is focuses on developing and constructing a network of hydrogen fueling stations for its fuel-cell electric and other customers.
Workhorse Group Inc. (WKHS)
Forecasted Sales Growth for 2022: 162.90% (6)
Workhorse is a technology company focused on providing drone-integrated electric vehicles to the last-mile delivery sector. As an American original equipment manufacturer, we design and build high performance, battery-electric vehicles including trucks and aircraft. Workhorse also develops cloud-based, real-time telematics performance monitoring systems that are fully integrated with our vehicles and enable fleet operators to optimize energy and route efficiency. All Workhorse vehicles are designed to make the movement of people and goods more efficient and less harmful to the environment.
Blink Charging Co. (BLNK)
Forecasted Sales Growth for 2022: 93.10% (7)
Blink Charging isa leading owner, operator, and provider of electric vehicle (“EV”) charging equipment and networked EV charging services. Their principal line of products and services is the Blink EV charging network (the “Blink Network”), a proprietary cloud-based software that operates, maintains, and tracks all the Blink EV charging stations and the associated charging data; EV charging equipment; and EV related services.
Blink has thousands of EV chargers deployed across the United States across numerous transit/destination locations, including airports, car dealers, healthcare/medical, hotels, mixed-use, municipal locations, multifamily residential and condo, parks and recreation areas, parking lots, religious institutions, restaurants, retailers, schools and universities, stadiums, supermarkets, transportation hubs, and workplace locations.
7 – https://finance.yahoo.com/quote/BLNK/analysis?p=BLNK