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BMW (BAMXF) to Fuel EV Production Via 6,000 Fresh Positions

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BMW AG (BAMXF - Free Report) recently confirmed plans to create up to 6,000 new jobs next year to cater to the raging demand for electric vehicles (EVs).The automaker, which currently employs about 120,000 people, is ending its phase of job cuts after trimming about 6,000 jobs since 2020. The new positions will be created primarily in Germany.

Amid the heightening climate change concerns, automakers worldwide are changing gears to EVs. To keep up with the trending EV revolution, BMW is set for an electric transformation and has geared its manufacturing plants for e-mobility. The latest announcement to rev up its workforce by up to 5% next year comes in as the luxury carmaker tries to electrify its vehicle line-up, with plans to introduce an electric version of its luxury sedan 7 series next year.

So far, the German automaker has sold more than one million EVs -- including fully electric and hybrid vehicles. It plans to attain two million sales of purely EVs by 2025. Moreover, the carmaker targets at least 50% of its global sales to be fully electric by 2030.

BMW has been seen stating that a lack of proper charging infrastructure has been a massive bottleneck to the accelerated adoption of green vehicles.

BMW has also long advocated investing in a range of technologies for modernizing fossil fuel-burning cars rather than focusing purely on battery-electric cars to reduce emissions and is against the idea of a complete debar on the purchase of combustion engine cars.

Last month, the company commenced deliveries of its much-awaited i4 electric sedan in Germany, way ahead of its original plan. Deliveries of the i4 in the United States are set to begin next year.

Though total sales for the company in November were slightly below last year's levels amid the dearth of semiconductor chips, the automaker remains optimistic that the chip crunch will fade away by the end of next year.

BMW currently carries a Zacks Rank of 3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

3 Key Auto Picks

Investors interested in investing in the auto space can consider powering their portfolio with the following three stocks -- Tesla (TSLA - Free Report) , Goodyear Tire (GT - Free Report) and LKQ Corporation (LKQ - Free Report) . While Tesla and Goodyear Tire flaunt a Zacks Rank of 1, LKQ Corp carries a Zacks Rank of 2 (Buy).

Tesla has an expected earnings growth rate of 166.96% for the current year. The Zacks Consensus Estimate for its current-year earnings has been revised upward by 6 cents over the last 60 days.

Tesla beat the Zacks Consensus Estimate for earnings in three of the last four quarters while missing once. TSLA has a trailing four-quarter earnings surprise of 25.38%, on average. Its shares have rallied 56.4% over the past year.

Goodyear has an expected earnings growth rate of 196.86% for the current year. The Zacks Consensus Estimate for its current-year earnings has been revised upward by 80 cents in the past 90 days.

Goodyear’s earnings beat the Zacks Consensus Estimate in the last four quarters. GT has a trailing four-quarter earnings surprise of 228.45%, on average. GT has surged 101.3% in the past year.

LKQ Corp has an expected earnings growth rate of 51.76% for the current year. The Zacks Consensus Estimate for its current-year earnings has been revised upward by 7 cents in the last 60 days.

LKQ Corp’s earnings beat the Zacks Consensus Estimate in the last four quarters. LKQ has a trailing four-quarter earnings surprise of 34.37%, on average. LKQ has rallied 67.7% in the past year.

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