Is Tesla, Inc. (TSLA) Among the Best EV Stocks To Buy in 2025?

From Yahoo Finance: 2025-04-18 15:04:00

In a recent article, Insider Monkey listed the “12 Best EV Stocks To Buy in 2025.” The piece compares Tesla, Inc. (NASDAQ:TSLA) against other top EV stocks in the market.

President Trump’s 25% tariffs on imported automobiles are now in effect, impacting half of the US auto industry. S&P Global Mobility estimates show that 46% of vehicles sold in the US in 2024 were not domestically produced.

Wall Street analysts express skepticism regarding the tariffs, fearing potential impacts on business earnings and a recession in the auto industry.

Bernstein analyst Daniel Roeska warns that a 25% tariff on automotive imports could have a chilling effect on the entire sector, impacting automakers’ bottom lines significantly.

US auto sales surpassed industry expectations in Q1 as buyers rushed to purchase vehicles before tariffs took effect, leading to increased vehicle prices and manufacturing costs.

Analysts caution that if tariffs are fully implemented, new car prices could rise by up to $10,000, affecting lower-margin vehicles more severely.

China’s car exports face challenges due to US tariff hikes, impacting major overseas markets and leading to a decline in exports to regions like Southeast Asia.

Tesla, Inc. (NASDAQ:TSLA) stands out as a top EV stock, delivering nearly 1.8 million vehicles in 2024 and generating $89 billion in revenue, primarily from Model 3 and Model Y sales.

Despite macroeconomic challenges, Tesla continues to expand production, with factories in Texas and Germany ramping up output and a new facility under construction in Mexico.

To boost sales amid weakening demand, Tesla has implemented price cuts, affecting its gross margin in 2024 but maintaining profitability as a leader in the global EV market. Resolution may increase market risk appetite, impacting stock performance. TSLA ranks 1st on a list of Best EV Stocks To Buy in 2025. AI stocks are seen as holding greater potential for higher returns in a shorter time frame. An undervalued AI stock with significant upside potential is highlighted in a report. No disclosures mentioned in the article.



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