Biden Infrastructure Plan Could Be Boon For These EV Stocks

yahoo2021-04-01

President Joe Biden's $2.5 trillion infrastructure plan calls for massive investments in electric vehicles and related technologies, a potential boon for EV stocks likeTesla(TSLA) as well as charging station operatorsChargePoint(CHPT) andBlink Charging(BLNK).

The plan, which the president will unveil today in Pittsburgh, also includes an initiative on renewable energy and the electric grid as part of a broad goal to supercharge the economy and fight climate change.

In particular, it earmarks $174 billion for electric-vehicle efforts, such as EV rebates, charging ports and electric school buses.

Biden's plan will "enable automakers to spur domestic supply chains from raw materials to parts, retool factories to compete globally and support American workers to make batteries and EVs," according to afact sheeton WhiteHouse.gov.

EV Stocks: Tax Credit Benefits

Biden is asking Congress to keep tax incentives that encourage motorists and add point-of-sale rebates to buy EVs. Currently, consumers can claim tax credits of as much as $7,500 when they buy an electric car.

But Tesla andGeneral Motors(GM) have already passed the 200,000 limit at which point carmakers no longer qualify for the rebates.

Wedbush analyst Daniel Ives says he expects the ceiling will be lifted. He adds that an expansion of the tax credits to the $10,000 range or potentially higher in a tiered system is possible.

EV Initiatives: Infrastructure

There are about 41,400 EV charging stations in the U.S., according to the Department of Energy, though one station can have multiple ports that can serve several cars at a time. That compares with more than 136,400 gas stations, according to GasBuddy.

Biden's plan will establish grant and incentive programs for state and local governments and the private sector to build a national network of 500,000 EV chargers by 2030.

Ives calls this part of the plan a linchpin of these EV initiatives. "Today there are roughly 100,000 public charging ports with another 300,000/400,000 needed over the next decade to support this groundswell EV green tidal wave for consumers/trucking."

Biden's plan also calls for the replacement of 50,000 diesel transit vehicles and electrification of at least 20% of school buses. It looks to also electrify the federal fleet, including the United States Postal Service.

EV Stocks

Tesla jumped 5.1% to 667.93 on thestock market today. TSLA stock has lost more than a quarter of its value since skyrocketing to an all-time high of 900.40 intraday on Jan. 25.

The company is also expected to report Q4 deliveries later this week. Wall Street expects deliveries of 174,000 vehicles.

Meanwhile, ChargePoint surged 19%. Blink Charging stock soared 11. AndClimate Change Crisis Real (CLII), a blank check company that is taking EVgo public, rose 3%.

But legacy auto giants making a big push in EVs were down.GM stockslipped 1.8%,Ford(F) fell 1.7%, and German automakerVolkswagen(VWAGY) sank 3.8%.

Even newly public EV stocks were relatively muted.Canoo(GOEV) fell 2.9%,Lordstown(RIDE) rose 1.6%, andFisker(FSR) advanced 3%.

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精彩评论

  • SSSG
    2021-04-01
    SSSG
    May build up the EV stock and its related companies, i.e., sensor and battery related companies.
  • JuanPeppa
    2021-04-01
    JuanPeppa
    Adding chargers to my watchlist
  • Wallstrtbets
    2021-04-01
    Wallstrtbets
    Tesla mania Liao.
  • KW1
    2021-04-01
    KW1
    Good news
  • FuJie1010
    2021-04-01
    FuJie1010
    Great news
  • derricktcw
    2021-04-01
    derricktcw
    Nice 
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