When it comes to EV stocks, most people immediately think of well-known names like Tesla (NASDAQ:TSLA) and Nio (NYSE:NIO). However, the opportunity for significant returns may lie in identifying undervalued sleeper stocks that haven’t yet gained high demand. EVs have become a mainstream industry, and investing in emerging EV stocks can offer strong returns.
That said, here are three undervalued EV stocks that have nothing to do with actually making vehicles.
ChargePoint (CHPT)
ChargePoint (NYSE:CHPT) is a global provider of EV charging stations. With EV adoption is on the rise, they’re well positioned to benefiting from the leading projected quadrupling of charging stations in the U.S. by 2025 and an eightfold increase by 2030. Europe would require a substantial $134 billion investment in infrastructure by 2035 to meet EV charging demand.
As a result, EV charging infrastructure companies are still in the early stages of growth. ChargePoint (NYSE:CHPT) stock appears appealing following consolidation in the first half of 2023, with a potential upside breakout after the 2022 sell-off.
ChargePoint is a sensible investment for those optimistic about the future of electric vehicles. With the expected consolidation in the industry, the need for public charging infrastructure will remain crucial. While the EV range may improve, public infrastructure will be necessary for long-distance travel.
In this context, CHPT presents a compelling opportunity for long-term investment. I remain bullish on ChargePoint stock due to the expanding EV market and the increasing need for charging infrastructure.
Lithium Americas (LAC)
Lithium Americas (NYSE:LAC) provides the titular element to many battery manufacturers. Lithium is essential for the global shift to renewable energy and greener transportation, leading to high demand and a rush to secure lithium supply worldwide.
The supplier is partnering with General Motors (NYSE:GM) to operate the Thacker Pass lithium mine in Nevada, which holds America’s largest lithium deposit. The mine is projected to generate substantial revenues starting in the latter half of 2026. Additionally, the Caucharí-Olaroz project has reached a milestone with the production of lower-grade lithium carbonate, with plans to upgrade the quality to battery grade by the second half of 2023.
Lithium Americas is undergoing a split, separating its North American and Argentinian business units. Lithium Argentina will focus on its interests in Caucharí-Olaroz, Pastos Grandes, and Sal de la Puna, while Lithium Americas will concentrate on the Thacker Pass lithium project in Nevada.
Blink Charging Company (BLNK)
Blink Charging (NASDAQ:BLNK) is a high-growth EV stock that often gets overlooked compared to larger competitors.
However, its impressive numbers highlight its rapid growth.In Q1, total revenues soared by 121% YoY to $21.67 million. Service revenues more than tripled, and network fees surged by 911%.
Investors have overlooked Blink Charging’s global expansion plans, resulting in a disparity between its share price and its ventures in different regions. Despite the recent share price decline, the company’s strategic moves domestically and abroad, including contracts with the U.S. government and progress in the U.K. and India, indicate multinational solid growth potential. Investing in Blink Charging now could lead to significant long-term gains, despite potential volatility.
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
