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Here are seven stocks that could gain significant traction through the second half of 2022

The market selloff in tech stocks offers investors a golden opportunity to buy oversold EV stocks at their most attractive valuations in years.
ChargePoint (CHPT): The leading name in the electric vehicle charging space more than doubled its Q1 revenue year-over-year.
Fisker (FSR): The Fisker Ocean is expected to start production at the Magna plant in November 2022.
Lucid Group (LCID): The company announced plans for its first overseas manufacturing facility in Saudi Arabia.
Nio (NIO): Deliveries in June jumped 60% year-over-year.
Rivian Automative (RIVN): Management is confident about delivering its full-year goal of manufacturing 25,000 EVs in 2022.
Tesla (TSLA): Reported selling a record 78,906 electric vehicles in June from its Shanghai factory.
XPeng (XPEV): The company announced plans to launch its new flagship SUV, the G9, in September.

Oversold electric vehicle (EV) stocks is our topic for today. The market selloff in tech stocks has provided investors with a golden opportunity to buy high-growth oversold EV stocks at their most attractive valuations in years.

For instance, the Global X Autonomous & Electric Vehicles ETF (NASDAQ:DRIV) is down around 25% year-to-date (YTD) compared with an almost 18% decline in the benchmark S&P 500 index during the same period.

The boom in EV stocks is poised to accelerate in the coming years. The Global EV Outlook 2022 report by International Energy Agency highlights that in 2021, EV sales doubled year-over-year (YOY) to a new record of 6.6 million.

Almost 10% of global car sales were electric in 2021, four times the market share in 2019. Regular InvestorPlace.com readers will likely know growth in EV sales was primarily led by China, accounting for half of the growth.

With that information, here are seven oversold EV stocks that could gain significant traction through the second half of 2022:

ChargePoint Holdings (CHPT)

52-week range: $8.50 – $28.72

ChargePoint (NYSE:CHPT) is the market leader in the EV charging space. It has around 175,000 charging spots across Europe and North America and boasts a market share of over 65%.

On May 31, Chargepoint announced first quarter (Q1) fiscal-year 2023 results. Revenue came in at $81.6 million, increasing 102% YOY. Net loss declined to 27 cents per diluted share, down from 83 cents a year ago. At the end of the quarter, cash and equivalents stood at $541 million.

Revenue generated from networked charging systems came in at $59.6 million, representing an increase of 122% YOY. As Chargepoint continues to expand its network of charging stations, subscription revenues are expected to account for a higher portion of its total revenue.

Management forecasts to bring in revenues of $96 million to $106 million for the second quarter. Such an expansion would represent an increase of roughly 80% YOY.

CHPT stock was recently down 37% YTD. Shares are trading at 15.6 times sales. Meanwhile, the 12-month median price forecast for ChargePoint stock stands at $20.

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Fisker (FSR)

52-week range: $7.95 – $23.75

Next up on our list is Fisker (NYSE:FSR), a speculative, pre-revenue EV manufacturer. Fisker Ocean, set to start production in November 2022, is sold exclusively through the Fisker app, i.e., without a dealer network.

Wall Street was initially attracted to its asset-light business model based on contract manufacturing. However, declining investor appetite for pre-revenue companies have taken the focus away from companies like Fisker.

On May 4, Fisker issued Q1 metrics. Net loss came in at 41 cents per diluted share, down from a net loss of 63 cents a year ago. Cash and equivalents ended the period at $1.04 billion.

In Q2, the company announced the launch of its second vehicle, the Fisker PEAR. The new EV model is expected to start production in 2024 at Foxconn’s facility in Ohio. Fisker anticipates reaching an annual manufacturing capacity of 250,000 PEARs in the next couple of years. Additionally, the company plans to manufacture 50,000 cars in 2023 and triple its Ocean SUV model production by 2024. The automaker currently has over 40,000 reservations for the Ocean.

This speculative EV play was recently down 42% YTD. The 12-month median price forecast for FSR stock is $15.

Lucid (LCID)

52-week range: $13.25 – $57.75

Lucid (NASDAQ:LCID) focuses on luxury EVs and developing cutting-edge EV technologies. The vertically integrated company currently manufactures vehicles in Arizona.

The EV maker reported Q1 metrics on May 5. Revenue declined from $313 million to $57.7 million on deliveries of 360 vehicles to customers. Net loss declined to 5 cents per diluted share, down from $89.29 a year ago. Cash and equivalents ended the period at $5.43 billion. Management has reiterated its production volume outlook of 12,000 to 14,000 vehicles for 2022.

On May 18, Lucid announced plans for its first overseas manufacturing facility with its partners in Saudi Arabia. The new factory is expected to bring EV manufacturing to the country with a capacity of 155,000 units. The EV maker has also signed an agreement with the Saudi Arabian government to purchase 50,000 EVs with an option to buy additional 50,000 EVs any time within ten years.

So far in 2022, LCID stock is down 52%. Shares are trading at 394 times sales. Analysts’ 12-month median price forecast for Lucid Group stock is $33.

Nio (NIO)

52-week range: $11.67 – $47.38

Chinese EV group Nio (NYSE:NIO) has been focusing on the premium segment, including technologies in artificial intelligence (AI) and autonomous driving. Over half of the global EV sales come from China. Therefore, Nio’s quarterly metrics get Wall Street’s close attention.

On Jun. 9, Nio announced Q1 results. Revenue came in at $1.56 billion, up 24.2% YOY. Adjusted diluted net loss per share was 13 cents, compared with 3 cents in the prior-year quarter. Cash and equivalents ended the period at $8.4 billion.

Q1 vehicle deliveries grew 28.5% YOY, despite an increase in price for all EV models. Deliveries in June jumped 60% YOY to almost 13,000 vehicles, highlighting the auto industry’s rebound in China. Management expects to begin deliveries of its upcoming new ES7 SUV and revised versions of ES8, ES6, and EC6 SUVs in August.

Meanwhile, Nio is on track to expand its business in Europe beyond Norway to Germany, Sweden, the Netherlands, and Denmark in the coming months. Management projects Q2 revenue to increase by 10.6% to 19.4% YOY, supported by deliveries of 23,000 to 25,000 EVs.

NIO stock has lost about a third of its value this year. Shares are trading at 6.4 times sales. The 12-month median price forecast for Nio stock stands at $30.

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Rivian Automotive (RIVN)

52-week range: $19.25 – $179.47

Rivian Automotive (NASDAQ:RIVN) focuses on electric sport utility vehicles and pickup trucks. Its portfolio of vehicles includes the R1T electric pickup truck, R1S electric SUV, and Electric Delivery Van.

The EV manufacturer reported Q1 financials on May 11. Total production was 2,553 vehicles, generating a revenue of $95 million. Adjusted net loss declined to $1.43 per diluted share, down from $4.10 a year ago. Cash and equivalents ended the period at $16.97 billion.

At the end of Q1, the company boasted a solid backlog of more than 90,000 EVs between its R1T pickup and R1S SUV, as well as 100,000 orders for its commercial delivery van from Amazon (NASDAQ:AMZN).

In Q2, Rivian ramped up production with 4,401 vehicles and delivered 4,467 EVs. Management is confident it can deliver its full-year goal of manufacturing 25,000 vehicles in 2022. However, Wall Street is not fully convinced that Rivian can produce at twice the Q2 rate in the second half of the year. Otherwise, Rivian’s full year goal is not attainable.

RIVN stock was recently down nearly 71% YTD. Shares are trading at 192 times sales. Wall Street’s 12-month median price forecast for Rivian stock stands at $45.

Tesla (TSLA)

52-week range: $620.57 – $1,243.49

Tesla (NASDAQ:TSLA) is currently the global leader in the EV space with a market share of over 60% stateside. However, recent research warns “Tesla’s US EV market share will plummet to just 19% by 2024.”

Tesla issued Q1 results on Apr. 20. Revenue jumped 81% YOY to $18.8 billion. Adjusted earnings came in at $3.22 per diluted share compared to 93 cents a year ago. Cash and equivalents ended the period at $17.51 billion.

Recent pandemic lockdowns in Shanghai have suspended production at Tesla’s most profitable plant. In June, the plant resumed production and sold a record 78,906 vehicles from its Shanghai factory. But in Q2, Tesla delivered only 254,695 vehicles. Before the lockdowns, estimates had been for 350,000 EVs.

Meanwhile, supply chain disruptions have also decreased production at Tesla’s new factories in Germany and Texas. Wall Street is paying close attention to those two new Tesla plants. They should help the EV maker reach the multi-year 50% annual production growth target.

TSLA stock was recently down almost 34% YTD. However, it is still richly valued at 65.8 times forward earnings and 13.7 times sales. Analysts’ 12-month median price forecast for Tesla stock is at $950.

XPeng (XPEV)

52-week range: $18.01 – $56.45

China-based XPeng (NYSE:XPEV) has become highly popular among the growing base of technology-savvy middle-class consumers in the country. Therefore, many analysts watch metrics from XPeng and Nio together. For instance, in June, “XPeng logged a bit more (15,295), but NIO also had a solid month (12,961).”

The EV maker released Q1 financials in late May. Revenue increased 152.6% YOY to $1.18 billion. Adjusted net loss stood at 28 cents per diluted share, up from 13 cents a year ago. Cash and equivalents ended the period at $6.58 billion.

In June, XPeng announced it had reached a milestone of 200,000 cumulative smart EV deliveries. It will also launch a new flagship SUV, the G9, in September.

In 2022, XPEV stock was recently down nearly 42%. Shares are trading at 7.1 times sales. The 12-month median price forecast for Xpeng stock stands at $36.85.

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On the date of publication, Tezcan Gecgil, Ph.D., did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

These top Chinese electric vehicle stocks are among the best options to consider for value, performance, and growth.
XPeng (XPEV): This EV stock enjoys an edge when it comes to vehicle deliveries.
Li Auto (LI): This stock can benefit from robust domestic demand growth for EVs.
Nio (NIO): Impressive growth numbers pose commendable long-term potential.

As far as top electric vehicle (EV) stocks go, Tesla (NASDAQ:TSLA) is the undisputed leader. The capital appreciation upside Tesla has provided since its public listing has been remarkable. In many ways, this EV maker provides the gold standard upon which other EV stocks are evaluated. Unfortunately, there isn’t a real competitor to stack up against Tesla right now. At least, not in terms of the speed of growth and scale Tesla has achieved.

That said, there are a few companies operating in global markets that I think are worth considering. I have chosen three Chinese electric vehicle stocks I think have promising upside. There’s good reason for this.

First, China is the fastest-growing EV market in the world. Even the great Tesla has set up manufacturing capabilities in China. Global EV sales reached 4.2 million units in 2021. Additionally, this market is projected to reach $823.75 billion by 2030. That’s some impressive growth potential. Second, Chinese aspirations to become the leader in key tech sectors favors Chinese-based electric vehicle stocks.

With that said, here are three of the companies I think are worthy of consideration at these beaten-down levels:

Top Electric Vehicle Stocks: XPeng (XPEV)

XPeng (NYSE:XPEV) is one of the fastest-growing EV companies based in China. The company’s delivery track record and revenue production are incredibly compelling. Further, its international expansion plans will be a growth driver for the company.

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XPeng recently posted quarterly results on Mar. 28, beating analysts’ estimates. Its revenue increased by 200% year-over-year, reaching $1.3 billion. The company did not post a profit during this quarter, which was expected. However, the net loss that XPeng generated was comparatively lower than what was estimated. Unsurprisingly, the market took a liking to XPEV stock following these stronger-than-expected results.

Furthermore, during the fourth quarter (Q4), XPeng delivered as many as 42,000 vehicles. For a company which is not yet profitable, this is a rather tempting figure. The company is also expected to reap the benefits from European expansions. Europe is currently the largest EV market globally, with China quickly catching up. Thus, this is an enticing EV stock to consider at these levels.

Top Electric Vehicle Stocks: Li Auto (LI)

Founded in 2015, Li Auto (NASDAQ:LI) manufactured and rolled out its first SUV in 2019, which was named the Li ONE. Since then, it has delivered over 110,000 vehicles.

During its Q4 2021 earnings report, the company surpassed analysts’ expectations. It posted sales worth $1.67 billion, which represented a 156% increase year-over-year. Additionally, this EV maker also reported strong earnings per share of 11 cents.

Furthermore, Li also provided investors with its second consecutive year of revenue growth. As the company ramps up production capacity and releases its second model, investors have a lot to look forward to. Indeed, Li’s management team believes 2022 will be another stellar year for Li Auto. It is hard to disagree with this view. Though, the company’s executives did lower Li’s guidance for the upcoming quarter.

Nonetheless, as per guidance, Li is expected to deliver as many as 31,000 vehicles during Q1 of 2022. Additionally, it is expected to post sales worth $1.43 billion. These numbers tell a compelling story for investors looking for “the next Tesla.”

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Top Electric Vehicle Stocks: Nio (NIO)

Nio (NYSE:NIO) focuses on key markets in Hong Kong, China, Germany, the U.S. and the U.K. Accordingly, Nio is a more international play as far as China-based electric vehicle stocks go. In Asian markets, however, Nio continues to be a major player. Nio is among the leading pure-play EV makers in China. If the Chinese government is looking for a poster child for innovation, Nio would likely win this accolade.

There’s a lot to like about NIO stock, including the company’s global aspirations. This company received impressive accolades, with the European Whole Vehicle Type Approval being bestowed on Nio for its ES8 model. This approval means that NIO can now enter the European market to produce and mass market its vehicles.

Over the long-term, I think all three of these companies are worth considering. Which Chinese EV maker will ultimately win out remains to be seen. However, in my view, owning a basket of these three stocks could be a great idea for investing in this sector.

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On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.