The electric vehicle (EV) revolution is speeding up, with legacy automakers leaving no stone unturned to establish a strong foothold in this domain and setting ambitious targets to electrify their fleet. In this regard, last week, Japan-based auto biggie
Honda ( HMC Quick Quote HMC - Free Report) pledged to sell only electrified vehicles in China, the world’s largest auto and EV market, by 2030. Meanwhile, China Association of Automobile Manufacturers released new energy vehicles sales data in the country for September. Sales of battery-powered EVs, plug-in hybrids and hydrogen fuel-cell vehicles (FCEVs) more than doubled last month to 357,000 units, courtesy of favorable government policies. Per China Passenger Car Association, EV king Tesla ( TSLA Quick Quote TSLA - Free Report) sold 56,006 EVs last month in the country. Tesla currently flaunts a Zacks Rank #1 (Strong Buy). You can see . the complete list of today’s Zacks #1 Rank stocks here Last Week’s Key Stories ElectraMeccanica ( SOLO Quick Quote SOLO - Free Report) inked a deal with Bosch to build a service network of independent auto repair shops to support service and maintenance operations for the EV maker’s flagship SOLO model. The company began the first commercial deliveries of single-seat SOLO EV early this month. With deliveries to reservation holders and fleet owners expected to increase, the partnership with Bosch for service and repair of the vehicles comes at the right time. The Bosch Car Service Network will be initially established in the western United States and gradually expand through the rest of the nation. Nikola ( NKLA Quick Quote NKLA - Free Report) collaborated with international multi-service flatbed transportation firm PGT Trucking. The alliance includes a letter of intent from PG Trucking to lease 100 Nikola Tre heavy-duty FCEVs post the completion of the Nikola Tre FCEV demonstration program. Deliveries of the FCEVs to PG Trucking are expected to commence in 2023 after production begins at Nikola’s Arizona manufacturing plant. The deal will enable PG Trucking to offer advanced transport solutions, as it intends to reduce its carbon footprint. Arcimoto ( FUV Quick Quote FUV - Free Report) released third-quarter 2021 stakeholder update. The company notified that it produced 78 vehicles in the quarter under discussion, reflecting a decline from 85 vehicles manufactured in the second quarter amid the global chip crisis. The final production figures will be unveiled in its third-quarter SEC filings. Meanwhile, sales hit a record of 64 units, more than doubling from the last reported quarter. The EV maker also announced the launch of its marketing trip, the Ride Of The Arconauts, which kicked off on Oct 16, to spread awareness of the latest and exciting EV models. Honda announced plans to sell only electrified vehicles in China beginning 2030. The auto giant will no longer introduce any fossil-fuel vehicles and electrify all upcoming models. In 2022, the firm will launch a new electric vehicle brand in China called e:N Series. Under this brand, Honda will roll out 10 new EVs in five years in collaboration with its partners GAC and Dongfeng Motor. The first set of e:N Series models, e:NS1and e:NP1, will hit the roads in spring 2022. New EV production plants are set to be established at both GAC Honda and Dongfeng Honda, with the commencement of production expected in 2024. Cummins ( CMI Quick Quote CMI - Free Report) announced a 15-liter natural gas engine for heavy-duty trucks, in sync with its aim of reducing greenhouse gas emissions. The expanding product lineup focusing on greener solutions will enable the company to achieve PLANET 2050 environmental goals, per which, Cummins aims to reduce emissions from new products by 30% by 2030 and attain carbon neutrality by 2050. Price Performance
The following table shows the price movement of some of the major EV players over the past week and six-month period.
Image Source: Zacks Investment Research
In the past six months, all stocks have increased, apart from Canoo and Lordstown Motors. Lordstown bore the maximum brunt, with shares declining 45.6%. In the past week, all stocks but Arcimoto have increased, with
XPeng ( XPEV Quick Quote XPEV - Free Report) being the top performer. What’s Next in the Space?
Stay tuned for announcements of upcoming EV models and any important updates from the red-hot industry. Also, investors are keenly awaiting third-quarter earnings of Tesla, which is slated to report on Oct 20, after the closing bell.