11 Hot EV Stocks to Buy Now

7. CTS Corporation (NYSE:CTS)

Year-to-date Share Price Returns: 11.33%

Number of Hedge Fund Holders: 13

A hot EV stock, CTS Corporation (NYSE:CTS) is a manufacturer focused on sensors, actuators, and connectivity components, serving markets across North America, Europe, and Asia. It has established a name in the rapidly evolving EV industry.

The company offers an extensive range of products, including current sensors, pedals, and specialized sensors tailored for EVs. It delivers modular designs that prioritize environmental resilience, superior performance, and high quality.

CTS Corporation (NYSE:CTS) was held by 13 hedge funds in the second quarter and the stakes amounted to $116.740 million as per Insider Monkey’s database. GAMCO Investors is the most dominant shareholder of the company and has a position worth $67.74 million, as of June 30.

It provides an automotive position sensor, which adds to the performance and efficiency of electric vehicles. The sensors are essential for monitoring the position of components within an electric motor system as they provide optimal operation.

A standout product in this category is the high-speed motor position sensor, designed specifically for electric engines. It replaces traditional resolver technology with an advanced electronic resolver solution that uses induction sensing principles, which significantly improves performance.

The company also designs advanced alternating current (AC) draw sensors and clamp-on magnetic field concentrators for various types of electric and hybrid vehicles, using Hall-effect technology.

The solutions cater to EVs, hybrid electric vehicles (HEVs), battery electric vehicles (BEVs), and plug-in hybrid electric vehicles (PHEVs).

Another related product is the custom modular pedal system, which includes the eBrake and DrivePad. The systems are compatible with brake-by-wire technology and other custom applications, prioritizing safety through the incorporation of multiple sensor technologies to protect users.

In 2023, CTS Corporation (NYSE:CTS) took a significant step forward by acquiring maglab AG, a privately held company specializing in magnetic system design and current measurement solutions.

The acquisition expands its capabilities in smart and fail-safe positions and current measurement, particularly for electric mobility, renewable energy, robotics, and automation. According to Kieran O’Sullivan, CEO of the company, this partnership brings complementary strengths in sensor technology and electric motor controls for it.