We recently published a list of Why These 15 Electric Vehicle Stocks Are Plunging in 2025. In this article, we are going to take a look at where Eaton Corp PLC (NYSE:ETN) stands against other electric vehicle stocks that are plunging in 2025.
The electric vehicle sector surged in popularity during the immediate post-COVID era as investors poured money into what seemed like the future of transportation. Back then, the promise of a green revolution fueled sky-high valuations and bold predictions. But that enthusiasm has since fizzled. Most electric vehicle stocks have plunged significantly and delivered consistent losses to shareholders.
Tesla seems to be the only company capable of selling electric vehicles in the West profitably, but even that company has been under tremendous pressure due to the politicization of its brand.
After Trump’s election, things look even bleaker for these companies and many of them are plunging. That said, many analysts now think that there are buying opportunities here, especially as a large portion of Tesla customers who previously would’ve bought Teslas are now likely to buy alternative EVs. Trump may also be softer than previously thought on EVs, as EV subsidies are still in place. It’s a good idea to take a look at the EV stocks that have been sold off the most so far this year.
Methodology
For this article, I screened the worst-performing electric vehicle stocks year-to-date.
I will also mention the number of hedge fund investors in these stocks. 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 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A technician standing in the middle of a power station, inspecting a power distribution system.
Eaton Corp PLC (NYSE:ETN)
Number of Hedge Fund Holders In Q4 2024: 88
Eaton Corp PLC (NYSE:ETN) is a multinational power management company.
The stock is down significantly so far in 2025 as Eaton reported $6.2 billion in revenue for Q4 2024, which fell short of Wall Street estimates by 1.7%. The miss was primarily due to weaker sales in its eMobility and Vehicle segments.
Disruptions caused by Hurricane Helene and strikes in the aerospace industry negatively impacted sales by approximately $80 million during Q4 2024.
Moreover, concerns about tariffs have added pressure on Eaton’s stock performance, and Barclays recently revised its price target for Eaton from $325 to $315 while maintaining an equal-weight rating.
The consensus price target of $357.16 implies 31.97% upside.
ETN stock is down 18.67% year-to-date.
Overall, ETN ranks 14th on our list of electric vehicle stocks that are plunging in 2025. While we acknowledge the potential of ETN 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 ETN but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.
Disclosure: None. This article is originally published at Insider Monkey.
