Connect with us


Electric Vehicle Stocks Get a Super Bowl Jolt as EVs Reach Their Most Important Milestone Yet

Did you watch the Super Bowl? Notice anything about the ads?
Normally, auto advertisements dominate Super Bowl commercials. And this year was no different. Seven different brands aired eight different auto commercials on Sunday — very n…

Did you watch the Super Bowl? Notice anything about the ads?

Normally, auto advertisements dominate Super Bowl commercials. And this year was no different. Seven different brands aired eight different auto commercials on Sunday — very normal.


But what was abnormal was the type of car those auto advertisements were promoting.

Going into Super Bowl 2022, automakers had run only a few electric vehicle (EV) advertisements. Last Sunday, they ran six EV ads — meaning that those companies dedicated 75% of their Super Bowl ad budgets to advertising EVs.


Source: petovarga/Shutterstock

Folks, that’s not a fluke. It’s a sign of the times.


Automakers are going “all-in” with advertising EVs because 2022 will be the year that EVs go mainstream. And now is your last chance to buy EV stocks before they absolutely skyrocket over the next 12 months.

For me, this is where mathematics come in ever-so handy. The numbers never lie, after all! See for yourself with the following electric vehicle (EV) delivery numbers and what they say about the state of the EV Revolution in 2022:

  • Tesla’s delivery volume increased 71% year-over-year in the fourth quarter of 2021, to a record-high 309,000 vehicles.
  • NIO delivered 10,489 vehicles in December, up 50% year-over-year.
  • Li Auto delivered 14,087 vehicles in December, up 130% year-over-year.
  • Xpeng delivered 16,000 vehicles in December, up 181% year-over-year.

What do you think? Up 71%… 50%… 130%… 181%… What do those numbers say about the EV Revolution today?

It’s pretty obvious. They’re proof that the revolution in electric vehicles is accelerating – not decelerating – and that 2022 will be a breakout year for EV stocks.

So what exactly is driving this breakout?


Well, for starters — as was on full display on Sunday — there are a lot of new EVs to choose from this year.

Not only are legacy automakers like Ford (NASDAQ:F), GM (NYSE:GM), Mercedes and BMW (OTCMKTS:BMWYY) all launching dozens of new EV models in 2022. But multiple EV startups like Lucid (NASDAQ:LCID), Rivian (NASDAQ:RIVN), Canoo (NASDAQ:GOEV), Arrival (NASDAQ:ARVL) and more will start actively delivering their EVs to consumers this year, too.


Basically, if you went into a car dealership in 2020 or 2021, you were greeted by just a few EV models on the floor. But in 2022, the floor will be dominated by EVs.

Just like how auto ads for EVs ruled the day on Sunday — that’s a precursor of what’s to come.


Behind the Rise of EV Stocks

It’s become “cool” to own an electric vehicle these days, because you’re helping in the fight against climate change. An EV is as much a statement piece as the house you live in, and that’s especially true among younger consumers.


Many of them won’t even consider a gas-powered car for their next car. And, because Father Time is undefeated, those young consumers represent the future majority of auto buyers. If they’re all buying EVs, then EVs will take-over the auto market.

One catalyst for this emergence is that EVs are finally cheaper than gas-powered cars. Because EVs are built on semiconductor chip technology, which benefit from both Moore’s Law and Wright’s Law, they’re getting exponentially cheaper. Next year, your average EV with 200-plus miles of driving range will, for the first time ever, be cheaper than your average gas-powered car.


And those EV prices keep dropping, while gas-powered car prices are not dropping. By 2030, EVs could be 20% to 40% cheaper than gas-powered cars.

An April 2021 report from the U.S. Department of Energy found that the all-in lifetime cost for a gas-fueled car is about $95,000, while the all-in lifetime cost for a similar EV is about $90,000.


So EVs are now already cheaper than gas-powered cars — but only marginally cheaper. Starting in 2022, however, EVs will become substantially cheaper.

Because of soaring fuel prices and supply chain bottlenecks, the $95,000 “all-in” cost for gas cars will rise significantly this year. Meanwhile, the $90,000 “all-in” cost for EVs will drop significantly because of falling battery costs and economies of scale.


Net-net, by the end of the year, EVs could be cheaper than gas-powered cars by 10% or more — much more than just “marginally” cheaper. That’s substantially cheaper. And that is a strong enough reason to get a lot of prospective car buyers to turn to EVs. So the economic drivers will show up to the party in a big way in 2022.

Then there are all those EV tax incentives, which per recent legislation coming out of Washington, are set to get much bigger over the next 10 years.


Not to mention all those charging stations popping up everywhere… or the fact that these cars have gone from barely cracking 100 miles of driving range a few years back, to some clocking in above 500 miles of driving range today… or all the advanced battery technology in development that, once commercialized, could unlock 1,000-plus miles of driving range.

And, even if all that doesn’t convince you, consider this simple fact: Pretty much every automaker, for one reason or another, is committed to a 100% electric vehicle fleet by 2030.


And then there are the technological drivers, which are arriving to the party as we speak.

Historically, EVs have been limited by driving ranges and technological prowess. But that’s no longer true. Case in point: Lucid Motors unveiled its signature Lucid Air vehicle in late 2021, which features 500 miles of range — more than a gas-powered car — and has more horsepower than any Lamborghini ever made.


Four things make for an incredible EV company:

  • A super talented team.
  • Superior EV technology.
  • Awesome brand equity.
  • A ton of financial resources.
  • Lucid Motors has all four of those things…

    On the talent front, many of the same folks who built the Tesla empire have essentially left Tesla and are working at Lucid Motors now.


    Over the past 10 years, Lucid’s super-talented team has developed, tested, and fine-tuned an entirely in-house Lucid Electric Advanced Platform (LEAP), which comprises key competitive technological advantages including:

    • A low-floor, wide-base “skateboard” EV platform enabling the company’s ultra-spacious “Space Concept” interior design
    • An incredibly power dense drive unit that yields the most efficient battery in the EV industry with 4.5 miles / kWh (versus ~4 miles / kWh for Tesla Model S), and therefore unlocks farther driving ranges without compromising on performance
    • And an onboard boost-charge technology dubbed “Wunderbox” that enables ultra-fast charge rates and bi-directional power delivery that includes vehicle to grid and vehicle to vehicle charging

    Importantly, this technology platform is backed by 403 patents – over 80% of which are already issued. And they have resulted in Lucid creating the Lucid Air, which is the only EV in the market with over 500-mile driving range.

    Now, that’s just one, admittedly high-tier, example. But it’s a microcosm of the improving tech phenomenon sweeping across the industry. In 2022, the average driving range of an EV is projected to hit 275 miles, which is on-par with that of a gas-powered car. 


    EVs Go Mainstream

    Let’s connect the dots here.

    Falling costs, improving technology, more supply — what more could you want?


    The EV Revolution is going to go mainstream in 2022. Electric vehicle adoption is going to soar this year like never before — and EV stocks are going to skyrocket hundreds of percent.

    That’s why Super Bowl Sunday was dominated by EV ads. And that’s why you need to be invested in EV stocks now.


    The proverbial train has left the station. But if you hurry, you can still catch a ride.

    Now, if you’re like me, you aren’t looking to make 100% or even 300% gains in the EV Revolution. This is a once-in-a-lifetime, multi-trillion-dollar paradigm shift that — if you invest in it correctly — could change your financial future forever.


    And that’s why I found one, tiny $3 stock at the epicenter of the EV Revolution…

    A completely unheard-of tech startup that is pioneering a “Forever Battery” breakthrough that has the potential to change everything about the EV Revolution — with a stock that could soar 1,000% or more in the coming years.


    This is a tiny stock with enormous upside potential — so big, in fact, that 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 an exclusive group of 60 people all about this small $3 stock at the epicenter of the biggest technological revolution of our lifetimes.


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

    The post Electric Vehicle Stocks Get a Super Bowl Jolt as EVs Reach Their Most Important Milestone Yet appeared first on InvestorPlace.


    InvestorPlace | Stock Market News, Stock Advice & Trading Tips

    Continue Reading
    Click to comment

    Leave a Reply

    Your email address will not be published. Required fields are marked *