Electric Vehicle Stocks See Mixed Performance Amid Market Downturn
The electric vehicle (EV) sector experienced a turbulent week, mirroring the broader market downturn. While most smaller EV companies prepare to release their quarterly earnings reports, several key players made headlines.
Tesla's stock price dipped over 5% during the week, reflecting investor concerns about the near-term outlook. However, the company reported strong sales in China, a crucial market, with a 4.4% month-over-month and 15.3% year-over-year increase in July sales. Additionally, CEO Elon Musk announced progress on the full self-driving technology, aiming to double the average miles between interventions.
Chinese EV maker BYD partnered with Uber to bring 100,000 new BYD vehicles onto the Uber platform across key global markets, starting with Europe and Latin America. This partnership will offer drivers competitive pricing and financing options for BYD vehicles.
Lucid Motors CEO Peter Rawlinson shared a video of the first pre-production Gravity EV rolling off the Arizona factory line. The Gravity, an SUV with a projected range of up to 440 miles, is expected to launch in late 2024 and priced under $80,000.
Legacy automaker Ford reported a 31% increase in EV sales for July, driven by the Mustang Mach-E and F-150 Lightning models. However, overall sales declined slightly due to a decrease in ICE vehicle sales.
The KraneShares Electric Vehicles and Future Mobility Index ETF (KARS) ended the week up 0.72%, but still experienced a 3.47% decline overall.
As smaller EV companies prepare to release their earnings reports, the coming weeks will provide further insights into the sector's performance and future prospects.