Tesla Inc. NASDAQ:TSLA The company has had an incredible run in shares, with shares up over 68% over the past year as of January 9, 2025, and an incredible 1,139% over the past five years. The electric vehicle giant remains the world’s largest car maker by market capitalization, with a price of $1.24. trillion, that’s about five times more than the next largest car company.
Despite this huge success, there are many reasons why investors may have become disillusioned with Tesla recently. A growing number of Wall Street analysts are recommending TSLA either sell or hold, based on the belief that the stock has become overvalued; the consensus price target of about $293 is more than 25% below current levels as of Jan. 9. Tesla’s vehicle deliveries fell more than 2% in 2024 compared to the same period last year. concerns for the company, which previously aimed for 50% annual growth in shipments. And high-profile incidents surrounding the company – the New Year’s Cybertruck explosion in Las Vegas in a possible terrorist attack and CEO Elon Musk’s increasingly polarizing political behavior – could also prompt investors to go elsewhere.
Luckily, alternatives to electric vehicles, including Li Auto Inc. NASDAQ: LEERivian Automotive Inc. NASDAQ: RIVNand NIO Inc. New York Stock Exchange: NIOwill provide investors beyond Tesla with many good options.
Li Auto: entry into the budget electric vehicle market
Lee Auto today
As of 01/08/2025 16:00 Eastern
- 52 week range
- $17.44
▼
$46.44
- P/E ratio
- 17.18
- Target price
- $33.94
While Tesla shares have skyrocketed in recent months, Chinese electric vehicle maker Li Auto has gone in the opposite direction, with LI shares down nearly 30% in the year to January 9, 2025. faces numerous headwinds, including lagging demand, an intense price war and concerns about the impact of regulation on the industry.
On the other hand, Lee has also moved in the opposite direction of Tesla when it comes to vehicle shipments, with more than half a million vehicles sold in 2024 and the number of vehicles delivered in the US up 16.2% year-over-year. . December. Lee has made moves to target the budget end of the EV market with the L6, the most affordable of its vehicles. The firm has also improved its self-driving system to include highway and city driving capabilities, helping it stand out in a crowded space.
While LI shares remain a hold based on analyst ratings, the consensus price target for the stock is $33.94, which is more than 46% above the current stock price.
Rivian Automotive: Impressive fourth quarter, deficit eliminated
Rivian Automotive Today
Rivian Automotive
As of 01/08/2025 16:00 Eastern
- 52 week range
- $8.26
▼
$19.76
- Target price
- $15.48
Shares of US electric vehicle company Rivian had fallen about 26% over the past year, but were up about 15% in early January 2025 after the company announced better-than-expected fourth-quarter delivery figures. Rivian’s 14,183 vehicles delivered in the final quarter of 2024 were more than 5% above Wall Street consensus estimates and up 42% from the prior quarter.
Two other important factors signal that Rivian could have a strong start in 2025: First, the impressive delivery figure came at a time of year that is typically lower than normal in terms of EV shipments, making it even more noticeable; and second, Rivian simultaneously announced that the component shortage issue that arose in October had been resolved. This should free the company to produce all of its models at its normal pace through 2025 and allow its partnership with Volkswagen (Rivian will provide software for future Volkswagen electric vehicles) to also continue uninterrupted.
Analysts are cautiously optimistic about Rivian stock, with 10 out of 25 Wall Streeters recommending the company a buy.
NIO: notable deliveries at the end of the year
NIO today
As of 01/08/2025 15:58 Eastern
- 52 week range
- $3.61
▼
$7.84
- Target price
- $5.71
Like Lee and Rivian, NIO shares have also fallen in the past year, with a nearly 43% drop that brought the stock well below $5. However, the more than 31,000 vehicles NIO delivered in December, up 73% year-on-year, is a highlight for the company.
While Lee may focus on the budget end of the EV market, NIO plans to expand across the spectrum. Sales of Onvo’s budget line roughly doubled from November to December, and production is expected to continue to expand in the future. NIO is also launching new SUVs this year and making headway in the compact electric vehicle market with its Firefly lineup, which analysts expect will strengthen the company’s position in Europe. So it’s no surprise that analysts see more than 32% upside potential for NIO stock.
Before you consider Li Auto, you might want to hear this.
MarketBeat tracks Wall Street’s top-rated and best-performing analysts daily and the stocks they recommend to their clients. MarketBeat has identified five stocks that top analysts are quietly whispering to their clients to buy now, before the broader market takes hold… and Li Auto wasn’t on the list.
While Li Auto currently has a Hold rating among analysts, the top-rated analysts think these five stocks are Strong Buys.
View five stocks here
Unlock the eternal value of gold with our exclusive 2025 Gold Forecasting Report. Find out why gold remains the best investment for protecting wealth from inflation, economic shifts and global uncertainty. Whether you are planning for the future for future generations or looking for a reliable asset in turbulent times, this report will be your essential guide to making informed decisions.
Get this free report