Electric Vehicles and Infrastructure

A quick look at the state of EV infrastructure in the US. It is clear that the number of electric vehicles on the road has increased dramatically over the last decade. It is also evident that the number of charging ports has not kept pace relative to the number of vehicles on the road.

Through 2022 there are 5.6 electric vehicles on the road per charging port.

While EV are still a relatively small percentage of vehicles in service in the US (less than 10%) it would appear that their market share will increase.

Taking a look at a sample of 12 publically traded companies who are in the sector, only one has had positive returns over both one year and five years.

While Tesla is an outlier, ABB seems to have been able to be both active in the sector and produce positive returns both yearly and over several years.

While the popular trend may be to invest in the vehicle makers, it would seem a better long term bet would be to further analyze companies who provide the infrastructure to support the continued growth of EV in the automotive sector.