Global sales of fully electric and plug-in hybrid vehicles (PHEVs) rose as much as 31% in 2023, although this growth rate marked a slowdown compared to the robust 60% surge witnessed in 2022, according to Reuters, citing the data from Rho Motion. Hence, many investors still consider EV stocks as a compelling investment opportunity, especially after a sharp selloff in recent months.
The declining cost of EV batteries is a crucial factor in making EVs more affordable and competitive with traditional gasoline-powered cars. As battery prices continue to fall, the cost of EVs is expected to decrease further, leading to increased adoption and market penetration. As a result, EV stocks will benefit from rising demand for this type of cars amid falling prices.
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