Price War Makes EV Stocks a Lot Less Attractive

By Travis Hoium – Jun 15, 2023 at 8:15AM

NYSE: NIO

Nio

Market Cap

$7B

Today's Change

(8.72%) $0.36

Current Price

$4.49

Price as of April 26, 2024, 4:00 p.m. ET

Falling prices mean falling margins for EV manufacturers.

There's a price war taking place in electric vehicles, and while it will hurt the pricing power for legacy automakers, EV companies are actually feeling the pain. Travis Hoium highlights how much Tesla (TSLA -1.11%) and others will feel the impact of cutting prices.

*Stock prices used were end-of-day prices of June 13, 2023. The video was published on June 14, 2023.

Travis Hoium has positions in General Motors and Rivian Automotive. The Motley Fool has positions in and recommends Nio and Tesla. The Motley Fool recommends General Motors and recommends the following options: long January 2025 $25 calls on General Motors. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.