Are EV Stocks Overvalued?
The electric vehicle frenzy, pioneered by Tesla, Inc. (NASDAQ: TSLA) has triggered a global automotive evolution. The rising climate change concerns across the world has been one of the key reasons behind the rapid rise of the electric vehicle industry, bolstered by favoring governments. However, with the global economy currently grappling with one of the worst recessions in modern history, the automobile industry is currently in a slump. Consequently, without adequate earnings and revenue growth, EV stocks are presently trading at surmounting valuations, raising concerns regarding a potential asset bubble.