10 Best Battery Stocks To Buy Now According to Short Sellers

7. Solid Power, Inc. (NASDAQ:SLDP)

Short Interest as % of Shares Outstanding: 7.82%

Number of Hedge Fund Holders: 14

Solid Power, Inc. (NASDAQ:SLDP) is a Colorado-based company that focuses on developing solid-state battery technology for EVs and various other industries across the U.S. The company provides sulfide-based solid electrolytes and licenses its proprietary cell designs and production techniques.

Its proprietary sulfide solid electrolyte technology significantly boosts safety and improves energy density by 50-75% over traditional batteries, making it an attractive option for a range of uses such as EVs, portable electronics, and aerospace applications.

The company focuses on creating and producing all-solid-state battery cells and manufacturing sulfide solid electrolytes for other producers. The company has set up pilot production lines to fine-tune its cell designs and offer different cell sizes, which facilitates collaborations with leading automotive manufacturers. It is one of the best stocks to buy now according to short sellers.

Solid Power’s (NASDAQ:SLDP) management is quite optimistic about its future. At its latest earnings call, the management discussed its focus on expanding its electrolyte production and market reach, improving its A-2 cell designs, and strengthening partnerships with major players like SK On, Ford, and BMW. Progress is being made on various fronts, including increased electrolyte sample shipments and advancements in cell design, which is aimed at higher performance and safety.

Moreover, they said that significant collaborations are underway, particularly with SK On in Korea, where the company is working towards the installation of an EV cell production line by mid-2025. Solid Power (NASDAQ:SLDP) is deepening its relationships in Korea and Japan to further engage with the battery ecosystem in those regions. Additionally, the company is continuing to work closely with BMW on improving cell performance and preparing for potential future collaborations, including BMW’s demo car program.

On August 7, Needham analyst, Chris Pierce issued a Buy rating on Solid Power (NASDAQ:SLDP) with a $3 price target, as reported by TipRanks. The analyst noted the company’s strong position in the growing all solid-state batteries (ASSBs) market, which offers advantages like longer range and improved safety for EVs.

Despite a recent dip in revenue forecasts, he believes the company’s long-term outlook remains stable. Pierce views the company’s current valuation as conservative, with expectations of significant growth as the EV market expands.

In Q2, 14 hedge funds had stakes worth $7.063 million in Solid Power (NASDAQ:SLDP). As of the second quarter, Yaupon Capital is the company’s most prominent shareholder with over 1.86 million shares worth $3.1 million.