This Forever Battery Stock Could Help You Beat the Rising Cost of Gas

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Have you been to a gas station recently? Noticed the sky-high gas prices? That’s not a fluke. Across America, the average price of a gallon of gasoline has jumped to an all-time high of over $5. And, while you might be balking at those ridiculously high prices (and hurting from them), let me tell you how you can actually make money off today’s record-high gas prices: Buy electric vehicle stocks.

An image of a neon EV battery

Source: Illus_man/Shutterstock

The logic here is simple, and it’s backed by data.

Soaring gas prices have a history of promoting healthy EV adoption. Makes sense, right? The more money you’re shuffling out at the pump every time you refuel your car, the more time you spend thinking: “Man, maybe I should get an electric vehicle.” The more time you spend thinking that, the more likely you are to finally make the jump to actually buying an EV.

Makes total sense. But the quantitative correlation here is actually way stronger than you may think…

Throughout 2017 and 2018, U.S. retail gas prices rose modestly, and EV unit sales globally rose about 60% in each of those years. Then, in 2019, retail gas prices started to drop, which coincided with a major slowdown in EV sales growth to just ~10% that year. Gas prices stayed lowed and bounced around throughout 2020, coinciding with a ~40% rise in EV sales. Then, as gas prices jumped in 2021, EV sales jumped, too, by a record 93%.

The correlation here is pretty clear and strong. The higher gas prices go, the more consumers buy electric vehicles instead of gas-powered cars.

Well, here in 2022, we have gas prices that are soaring to record highs and likely won’t come down anytime soon, because the U.S. just officially banned all Russian natural gas.

History says this should lead to a surge in EV sales in 2022 — and that’s exactly what will happen.

The investment implication? Buy EV stocks.

But… not all EV stocks are created equal… and at the epicenter of this boom is a tiny, $3 stock that is making a “forever battery” which could entirely rewrite the rules of the electric vehicle industry.

Forget Tesla. This tiny EV stock could go down as the industry’s biggest winner ever — and, today, I’m going to tell you about that very stock.

Introducing the Future of Batteries

The plain truth about the Electric Vehicle Revolution that everyone is so hyped-up about is that it won’t go mainstream until we make better batteries.

To understand why, we need to take a quick trip back to chemistry class…

Batteries comprise three things. A cathode, an anode, and an electrolyte. Batteries work by promoting the flow of ions between the cathode and anode through the electrolyte.

A labeled image of a lithium ion battery

Conventional lithium-ion batteries are built on liquid battery chemistry. That is, they comprise a solid cathode and anode, with a liquid electrolyte solution connecting the two.

These batteries have worked wonders for years. But, due to the physical constraints of dealing with a liquid electrolyte, they are now reaching their limit in terms of energy cell density — which basically means that if we want our phones, watches, and electric cars to last longer and charge faster, we need a fundamentally different battery.

Insert the solid-state battery.

With solid-state batteries, the name pretty much says it all. Take the liquid electrolyte solution in conventional batteries. Compress it into a solid. Create a small, hyper-compact solid battery that — because it has zero wasted space — lasts far longer and charges far faster.

Of course, the implications of solid-state battery chemistry are huge.

Solid-state batteries could be the key to making our phones sustain power for days… enabling our smartwatches to fully charge in seconds… and, yes, allowing electric cars to drive for thousands of miles without needing to recharge.

That’s why solid-state batteries are dubbed by insiders as “forever batteries — and it is why these forever batteries are the critical technology needed to propel the EV Revolution into its next phase of supercharged growth.

The Impossible Just Became Possible

But, up until recently, making solid-state batteries was the stuff of science fiction, because the science behind doing so was prohibitively complex.

Then, along came a team of genius Stanford professors and scientists who decided they wanted to tackle this problem. Alongside a few tech execs and with backing from some the most prestigious venture capital firms in the world, they started a company in 2010 called QuantumScape (QS).

Twelve years later, that company has basically solved the solid-state battery problem.

The biggest issue with solid-state batteries is something called “dendrites”, which are small cracks that form in the solid electrolyte during charging and recharging, and which eventually get so big that they short-circuit the battery.

The big breakthrough in solid-state batteries, thus, lies in developing a solid electrolyte material that is dendrite-resistant.

About a year ago, QuantumScape did just that on a very tiny scale, with a single-layer battery cell. Sure, a single-layer battery cell is far from enough to power a car. But, since then, the company has proven that its proprietary, breakthrough solid-state battery technology works in 4-layer and 10-layer cells, and is showing early promising signs of working in 16-layer cells, too!

In other words, QuantumScape’s initial “tiny” solid-state battery breakthrough is proving to work even as the company scales up the battery size.

If this trend continues, then within a few years, QuantumScape will be commercializing effective solid-state batteries that are big enough to be used in cars.

In other words, the impossible is in the process of becoming possible. Forever batteries have arrived.

Of course, QuantumScape stock offers a great way to play the solid-state battery revolution. We think QuantumScape stock has about 10X upside potential from current levels.

But, believe it or not, QuantumScape stock is far from the only solid-state battery stock out there with millionaire-maker potential.

The Final Word

Solid-state batteries are the future, and they represent one of the most promising technological breakthroughs of the 2020s.

Most people think of solid-state batteries as driving forward the EV Revolution. And they will — but they’re about so much more than that. Pretty much everything you use every day — your electric vehicle, your smartphone, and your laptop — are all built on lithium-ion batteries. The solid-state battery will revolutionize all of those devices, not just EVs.

This is a multi-TRILLION-dollar revolution in the making.

Some of the stock market’s biggest winners in the 2020s will be solid-state battery makers.

QuantumScape projects as one of those mega-winners. But it won’t be alone, and in fact, it may not even be the biggest winner…

Rather, that title is reserved for the tiny, completely unheard-of $3 stock I was telling you about at the top of this note.

Less than $3… and this company could potentially change the world over the next decade.

Needless to say, the upside potential in this tiny stock is enormous — so big, in fact, that unlike QuantumScape, I can’t write its name in this post.

But, I did just give a presentation at the landmark Hudson Theater in Southern California, where I told a group of 60 people all about this tiny tech stock.

And right now, I’m going to pull back the curtains on that event and give you a front-row seat to learning about the small $3 stock at the epicenter of the biggest technological revolution of our lifetimes.

Get ahead of the soaring gas prices now!

On the date of publication, Luke Lango did not have (either directly or indirectly) any positions in the securities mentioned in this article.


Article printed from InvestorPlace Media, https://investorplace.com/hypergrowthinvesting/2022/03/this-forever-battery-stock-could-help-you-beat-the-rising-cost-of-gas/.

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