Tesla (TSLA) has rewritten the rules of momentum stocks in 2013, with TSLA stock up an amazing 400% year-to-date.
But bigger picture, Tesla has taken an important step towards rewriting the rules of the vehicle market.
Electric vehicles have long been criticized as a quirky but impractical transportation option thanks to short ranges and huge price tags. But while pricey and admittedly limited in its use because of a lack of charging stations, the Tesla Model S sedan has proven not just viable but wildly successful.
And the rest of the auto sector has noticed. General Motors (GM) is now working on a version of the Chevrolet Volt that could go head-to-head with Tesla, with the goal of a 200-mile battery range and a $30,000 price tag. Meanwhile, Ford (F) has invested $8 million in a lab at the University of Michigan to improve its electric vehicle plans with more efficient and cost-effective batteries.
So if you missed out on the Tesla run and you’re worried about buying a top in TSLA stock now, don’t fret. Because the electric vehicle revolution is just getting started.
Here are three great ways to play that trend: