We recently compiled a list of the 10 Best EV Stocks to Buy Under $50. In this article, we are going to take a look at where General Motors Company (NYSE:GM) stands against the other EV stocks under $50.
Electric vehicle (EV) sales continue to grow but at a slower pace than many had previously expected. In 2024, sales of all-electric and hybrid vehicles in the US reached 20% of new car and truck sales for the first time. While this is a massive achievement, it comes at a slower rate than expected and traditional gas and diesel-powered vehicles still dominate the market. Gas or diesel internal combustion engines fell below 80% for the first time in modern automotive history. These models accounted for 79.8% of the sales in 2024.
According to auto data firm Motor Intelligence, 1.3 million all-electric and 1.9 million hybrid vehicles, which include plug-in models, were sold last year. However, there is more uncertainty as to how sales of all-electric and plug-in hybrid electric vehicles will be influenced by the potential actions of President Trump as well as the ongoing trade war.
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Globally, China remains the largest market for EVs. According to the China Passenger Car Association, sales of new energy vehicles, which include battery-only and hybrid-powered cars, jumped 42% to reach nearly 11 million units in 2024. The rapid growth of new energy vehicles in China in recent years has been supported by a mix of subsidies and consumer purchase incentives.
However, CNBC reported that China’s EV market could experience a sharp slowdown in 2025, with HSBC analysts predicting slower growth of only 20% in 2025 because of industry consolidation and reduced margins for struggling companies. Yuqian Ding, head of China autos research at HSBC, said in a report that the current situation is “unsustainable”. According to Ding, strong sales have allowed weaker firms to hang on despite falling margins. HSBC analysts expect consolidation within the industry to now accelerate rapidly, which could force a lot of small firms out.
Methodology
To compile our list of the 10 best EV stocks to buy under $50, we looked for the biggest EV companies. We reviewed our own rankings, financial media reports, ETFs, and various online resources to compile a list of the best EV stocks. We narrowed down our selection to stocks with a share price of under $50 as of March 28, 2025. Next, we focused on the top 10 EV stocks most favored by institutional investors. Data for the hedge fund sentiment surrounding each stock was taken from Insider Monkey’s Q4 2024 database of more than 1,000 elite hedge funds. Finally, the 10 best EV stocks to buy under $50 were ranked in ascending order based on the number of hedge funds holding stakes in them as of Q4 2024.
Why do we care about what hedge funds do? 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A fleet of electric vehicles in a cityscape, representing the companies success in urban transportation.
General Motors Company (NYSE:GM)
Share Price: $46.68
Number of Hedge Fund Holders: 68
General Motors Company (NYSE:GM) is an American multinational automotive manufacturing company that ranks among the best EV stocks to buy under $50. The company has global scale and capabilities and is widely known for its Chevrolet, Buick, GMC, and Cadillac brands. General Motors Company (NYSE:GM) offers a broad portfolio of EVs and gasoline-powered vehicles.
The company is taking steps to advance its EV lineup and saw significant success in 2024. In the fourth quarter of 2024, General Motors Company (NYSE:GM) reported a 21% increase in overall sales year-over-year. This growth was driven by EV sales, which increased by 50%. For the full year 2024, General Motors Company (NYSE:GM) reported that EV sales surged by 125%. This helped the company double its share in the EV market over the year as the company reported consistent growth in EV sales throughout 2024. In Q4, General Motors Company (NYSE:GM) sold 42,000 EVs, an increase of 10,000 compared to Q3 and nearly twice the sales from Q2. The company is also integrating new technologies into its vehicles. In February 2025, General Motors Company (NYSE:GM) completed its acquisition of Cruise Holdings, which will now be a wholly-owned subsidiary of GM and work on autonomous vehicle technology and advanced driver assistance systems. General Motors Company (NYSE:GM) will be integrating Cruise technology into Super Cruise, its hands-free driver assistance system.
Overall, GM ranks 1st on our list of the best EV stocks to buy under $50. While we acknowledge the potential of GM as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than GM but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.