In this article, we discuss the 12 biggest EV stocks in the world heading into 2025, along with the latest updates around the EV industry.
Vehicle Market Outlook for 2025 Reflects Mixed Opportunities
According to the S&P Global Mobility report, global vehicle sales in 2025 are expected to reach 89.6 million units, growing 1.7% from 2024. However, several challenges, including high interest rates, economic uncertainty, and evolving electrification policies, are likely to limit growth. In the US, the incoming administration’s policies, including tariffs and deregulation, could further complicate the market. The European market is projected to grow modestly due to economic risks and stricter emission rules.
Meanwhile, China’s vehicle market is expected to see continued growth, especially in new energy vehicles, supported by incentives and subsidies. Global production is forecast to decline by 0.4%, with regional variations. Electric vehicles are still a growth sector, with battery electric vehicle sales projected to reach 15.1 million units, a 30% increase from 2024, the report states. However, uncertainties regarding infrastructure, policies, and supply chains persist.
China’s Electric Vehicle Surge Set to Outpace the World
China is set to lead global EV sales, with domestic EV sales expected to exceed 12 million units by 2025, a 20% increase from the previous year, as reported by the Financial Times. This growth comes as traditional car sales are expected to decline by over 10%. China’s EV success is attributed to advancements in technology and resource supply chains, lowering manufacturing costs. While EV growth has slowed in Europe and the U.S., China’s market continues to expand rapidly, overtaking Western competitors.
However, intense competition and oversupply in the domestic market could lead to consolidation among Chinese manufacturers. The market is anticipated to face challenges in 2025 due to policy changes, but strong growth is expected to resume later in the decade.
New Approach for Reshaping the U.S. Auto Sector
According to a Bloomberg report, advisers to President-elect Donald Trump are proposing a two-pronged strategy to reshape the U.S. auto industry. The plan includes cutting federal subsidies for EVs while fostering a domestic supply chain for their production. This approach aims to prioritize U.S. automakers without taxpayer support for consumers. Recommendations also include easing environmental reviews, speeding up permits for EV projects, and expanding tariffs on EV-related imports.
Moreover, federal incentives like the $7,500 tax credit for EV buyers would be repealed, and fuel economy and tailpipe pollution regulations would return to 2019 levels. The proposals also seek to support domestic manufacturing, including EV battery production, the report states. Additionally, the transition team is considering deregulating the autonomous vehicle industry and easing reporting requirements for carmakers using automated driving technologies.
Potential U.S. Tariffs Could Undermine Canada-U.S. Automotive Trade
There are growing concerns that President-elect Donald Trump’s proposed 25% tariffs on Canadian imports could harm the recovering Canadian auto industry, especially in Ontario, where major automakers produce vehicles largely for U.S. consumers, as per CNBC.
Ontario Premier Doug Ford warned that such tariffs could increase vehicle prices, slow production, and cost jobs in both Canada and the U.S. Trump’s tariffs, intended to address national security concerns, could add significant costs to vehicles and automotive parts from Canada, Mexico, and China. The report states that while Canada’s auto exports to the U.S. are substantial, industry leaders fear the tariffs could disrupt this balance, negatively impacting both sides. Ontario Premier called for closer collaboration between Canada and the U.S. rather than imposing tariffs on their closest ally.
12 Biggest EV Stocks In the World Heading into 2025
Our Methodology
For this article, we created a list of the largest auto manufacturers in the world that manufacture and sell EVs. We then narrowed our list to 12 stocks with the biggest market cap and were traded on either the NYSE, NASDAQ, or OTC markets. The 12 biggest EV stocks in the world are listed in ascending order of their market cap. We also added the hedge fund sentiment around each stock.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
12 Biggest EV Stocks In the World Heading into 2025
12. Stellantis N.V. (NYSE:STLA)
Number of Hedge Fund Holders: 24
Market Capitalization: $37.6 Billion
Stellantis N.V. (NYSE:STLA) designs, engineers, manufactures and sells automobiles, light commercial vehicles, engines, transmission systems, and mobility services globally. The company offers a range of vehicles, including luxury, premium, and American and European brands, along with parts, services, and financing options. Its products are sold under various brand names, including Alfa Romeo, Chrysler, Dodge, Fiat, Jeep, Maserati, and Peugeot, among others.
Stellantis (NYSE:STLA) is navigating a global product transition, which has led to production gaps and inventory reductions, especially in North America. Additionally, the European market has posed difficulties, contributing to lower sales and an unfavorable product mix. These factors, combined with pricing and foreign exchange pressures, have impacted the company’s performance during the recent period.
However, the company is focused on rebuilding trust with key stakeholders following tensions under former CEO Carlos Tavares. CFO Doug Ostermann highlighted the company’s commitment to improving margins and potentially paying a dividend next year, as per Bloomberg. While the company faces challenges like a sales decline in the U.S. and excess capacity in Europe, it is confident in its ability to improve profitability, partly due to progress in reducing U.S. inventories. Stellantis is also investing in new Ram and Jeep models.
According to Ariel Investments’ Q3 investor letter, Stellantis (NYSE:STLA) experienced lower sales and production issues but is addressing inventory challenges and maintaining its buyback and dividend plans. Here is what the firm said:
“Lastly, shares of multinational automotive manufacturing company, Stellantis N.V. (NYSE:STLA) declined following a significant earnings miss. The company attributed the performance to lower sales, production disruptions from a product overhaul and weak performance in North America. Muted demand for electric vehicles in Europe also weighed on performance. In response, STLA is implementing operational improvement initiatives to bring down U.S. inventory levels through production cuts, consumer incentives and gradual price adjustments. Despite these results, management maintained its previous buyback and dividend commitments. Although we expect discounting to increase as U.S. inventory ages, we maintain a constructive view on the company. We believe STLA’s strong global footprint and commitment to industry leading profitability, operational excellence, and strategic foresight will continue to enhance long-term shareholder value.”
11. Ford Motor Company (NYSE:F)
Number of Hedge Fund Holders: 36
Market Capitalization: $40.16 Billion
Ford Motor Company (NYSE:F) designs, manufactures and services a variety of vehicles, including trucks, cars, SUVs, and luxury Lincoln models, worldwide. It operates through several segments: Ford Blue, Ford Model E, Ford Pro, Ford Next, and Ford Credit. The company sells vehicles and parts through dealers and distributors, serving both retail and commercial customers, including fleet operators, rental companies, and governments. Ford also provides vehicle financing and leasing, including retail installment contracts and direct financing leases for both new and used vehicles.
Ford’s strategy for the EV market has been proactive, focusing on cost reduction, efficient battery production, and scaling EV volumes. Despite a 35% growth in EV volumes, the company faces pricing pressure and a competitive environment, with over 150 new EV models expected in North America by 2026. To stay ahead, Ford has reduced $1 billion in EV costs this year, revamped its battery footprint, and focused on offering profitable EVs within 12 months.
Additionally, the company emphasizes software and repair services as key revenue growth areas, with Ford Pro seeing significant success. However, challenges like rising warranty costs and inflation remain obstacles to achieving record EBIT. Ford expects steady improvements in cost management and capital efficiency, forecasting a solid 2025 outlook. For the future, CEO Jim Farley also considers the shift toward affordable EVs and changes in vehicle mix as important factors to consider, though the company’s truck and Pro segments are performing well.
