Investing in the stock market can be a great way to make money and achieve financial freedom. With so many different stocks to choose from, it can be hard to know where to start. One of the most popular stocks currently is Tesla (TSLA). While Tesla has been a great stock for many investors, there are other alternatives out there that may offer similar returns with less volatility. In this article, we will discuss some of the alternatives to TSLA stock and how you can benefit from them.
What is TSLA stock?
Tesla, Inc. (TSLA) is an American electric vehicle and clean energy company based in Palo Alto, California. Tesla’s current products include electric cars, solar roofs, batteries, and home energy systems.
Tesla Motors was founded in 2003 by a group of engineers who wanted to prove that electric vehicles could be better than gasoline-powered cars. The company’s first product was the Roadster, an all-electric sports car that could go from 0 to 60 mph in 3.7 seconds.
Since then, Tesla has released several more products, including the Model S, Model X, and Model 3. Tesla also offers solar roofs and batteries for homes and businesses through its SolarCity subsidiary.
In recent years, Tesla has been working on self-driving technology with the goal of making all of its cars autonomous in the future. The company is also working on a new kind of battery that it says will be cheaper and last longer than current lithium-ion batteries.
TSLA Stock Price
As of July 2020, the TSLA stock price is $1,370. That’s up from just over $200 in early 2019.
The rise in Tesla’s stock price has been nothing short of meteoric. But, as with any high-flying stock, there are bound to be some bumps along the way. So, what are the alternatives to TSLA stock?
For starters, you could invest in another electric vehicle (EV) manufacturer such as Nissan or BMW. Or you could put your money into an established automaker such as Toyota or Ford.
There are also a number of companies that supply parts and components to Tesla. These include Panasonic, which makes batteries for Tesla cars, and Canadian company Magna International, which supplies seats and other interior parts.
Another alternative is to invest in a company that is benefiting from the growing trend towards electric vehicles without being directly involved in their manufacture. This could include a utility company that is investing in electric vehicle charging infrastructure or a renewable energy company that is supplying electricity to power EV factories.
What are the risks of investing in TSLA stock?
TSLA stock is a high-risk investment. While the potential rewards are high, there is also a significant chance of loss. TSLA stock is volatile and subject to sudden changes in price. The company is also facing significant financial and production challenges. As a result, investors should carefully consider all of the risks before investing in TSLA stock.
What are the alternatives to TSLA stock?
There are many alternative stocks to Tesla (TSLA). A few of the most popular substitutes for TSLA stock include:
General Motors (GM)
Each of these companies manufactures electric vehicles, and all except for Nissan also operate in the luxury car market. Ford and GM have the greatest market share in the United States, while BMW and Tesla compete more directly in Europe and Asia.
- Nio Inc. (NIO)
Nio Inc. (NIO) is a Chinese electric vehicle and automotive manufacturing company headquartered in Shanghai, China. The company was founded in 2014 and has since become one of the leading manufacturers of electric vehicles in the world. Nio produces a range of electric vehicles, including the ES8 SUV, the ES6 SUV, and the EP9 sports car.
Nio has had a strong performance in recent years, with sales of its vehicles growing rapidly. In 2020, Nio sold over 20,000 vehicles, an increase of over 70% from 2019. The company’s market value has also grown significantly, reaching over $60 billion as of 2021.
Despite its strong performance, Nio faces significant challenges going forward. The Chinese government is planning to phase out subsidies for electric vehicles, which could impact Nio’s sales. In addition, competition from other manufacturers is intensifying, particularly from Tesla (TSLA), which is also expanding its manufacturing presence in China.
Nonetheless, Nio remains a leading player in the global electric vehicle market and is well-positioned to continue growing in the years ahead.
- Li Auto Inc. (LI)
Li Auto Inc. (LI) is a Chinese electric vehicle manufacturer, founded in 2015. The company offers a range of electric SUVs, including the Li ONE and the Li SUVs. Li Auto has a market capitalization of $9.4 billion and trades on the Nasdaq Global Select Market under the ticker symbol “LI.”
Li Auto is one of the leading electric vehicle manufacturers in China. The company has a market capitalization of $9.4 billion and trades on the Nasdaq Global Select Market under the ticker symbol “LI.” Li Auto offers a range of electric SUVs, including the Li ONE and the Li SUVs.
- Rivian Automotive Inc. (RIVN)
Rivian Automotive Inc. (RIVN) is an automaker based in the United States. The company was founded in 2009 by Robert Lutz, a former General Motors executive. Rivian is known for its electric vehicles, and its first product is the R1T, an all-electric pickup truck.
In March 2018, Rivian raised $350 million in funding from investors including Amazon and Ford Motor Company. In April 2019, Rivian announced that it had raised an additional $2.5 billion in funding, led by T. Rowe Price Associates.
Rivian has partnerships with several major companies. In addition to its investment from Amazon, Rivian has a partnership with the online retailer to develop electric delivery vans. Rivian also has a partnership with Ford Motor Company to develop an all-electric version of the Ford F-150 pickup truck.
- XPeng Inc. (XPEV)
XPeng Inc. (XPEV) is a Chinese electric vehicle manufacturer founded in 2014. The company produces sedans, SUVs, and crossovers. As of 2019, XPeng has delivered over 16,000 vehicles and has a market share of 1.8% in China.
In 2018, XPeng raised $600 million in Series A funding from Alibaba Group, Hillhouse Capital Group, and CICC Capital. In 2019, the company completed a $400 million Series B financing round led by Xiaomi Corporation.
XPeng plans to use the funds to accelerate the development of its smart electric vehicles and expand its sales and service network in China.
- General Motors Co. (GM)
General Motors Co. (GM) is an American multinational corporation headquartered in Detroit, Michigan that designs, manufactures, markets, and distributes vehicles and vehicle parts worldwide. GM was founded by William Crapo Durant on September 16, 1908 as a holding company for Buick. In 2009, GM emerged from a government-backed Chapter 11 reorganization as the largest automaker in the world.
Today, GM is still one of the leading automakers in the world. In 2018, GM sold over 8 million vehicles globally under its various brands including Chevrolet, Buick, GMC, Cadillac, Holden, Baojun, and Wuling. GM also has a strong presence in the electric vehicle market with its all-electric Chevrolet Bolt EV.
- Toyota Motor Corp. (TM)
Tesla Motors Inc. (TSLA) is an American electric vehicle and clean energy company based in Palo Alto, California. The company specializes in electric vehicle manufacturing, battery energy storage from home to grid scale, solar panel manufacturing, and providing lease and purchase financing for solar systems. Tesla also sells powertrain components to other vehicle manufacturers.
Toyota Motor Corporation (TM) is a Japanese multinational automotive manufacturer headquartered inside Toyota City, Aichi Prefecture, Japan. In 2017, Toyota’s corporate structure consisted of 364,445 employees worldwide and, as of September 2018, was the sixth-largest company in the world by revenue. As of 2017, Toyota is the largest automotive manufacturer in terms of production ahead of Volkswagen Group and General Motors.
- Ford Motor Co. (F)
In recent years, Tesla (TSLA) has been one of the hottest stocks on Wall Street. The electric car maker’s shares have soared as it has become the leading player in the emerging EV market. But Tesla is not the only game in town when it comes to EVs. There are a number of other companies that are making electric vehicles, and some of them could be good alternatives to Tesla for investors who are looking to get into the EV space.
One alternative to Tesla is Ford Motor Company (F). Ford is one of the largest automakers in the world, and it has been investing heavily in EVs. The company has said that it plans to invest $11 billion in electric vehicles by 2022, and it has already introduced a number of EVs, including the Mustang Mach-E SUV. Ford’s EVs might not be as sexy as Tesla’s, but they could be a more practical choice for many consumers.
Another alternative to Tesla is Volkswagen (VWAGY). Volkswagen is the world’s largest automaker, and it too has been investing heavily in EVs. The company has said that it wants to sell 1 million EVs per year by 2025, and it has already introduced a number of all-electric models, including the ID.3 hatchback. Volkswagen’s EVs might not have the same range as Tesla’s, but they could be a more affordable option for many consumers.
Finally, there is General Motors (GM). GM is another major automaker that has been
Investing in Tesla stock is a great option for those looking to diversify their portfolios, but there are other alternatives out there. Investing in alternative energy stocks such as Sunrun or First Solar can be a very attractive option, while investing in electric vehicle stocks such as Nio or Li Auto could also provide investors with potential gains. Ultimately, it’s up to the investor to decide which of these investments best suits their goals and risk tolerance. It is important that everyone does their research before diving into any kind of stock investment so they make an informed decision on what will work best for them.