EV – New Entrant (not Tata Motors)

Big beneficiary of EV Revolution

LARGE CAP | 100 YRS OLD GROUP (NOT TATA) | RS. 50,000+ CR GROUP SALES | LARGE HOLDING OF FII, DII, AIF | COMPANY HAS STRONG ENGINEERING BACKGROUND  

Why Buy this Stock – Complete Story in Simple Language

It is by now well established that Electric Vehicles are the future.

EV industry is all set to grow till 2050+

Whenever an industry grows for such a long period, the stocks of early leader companies give fantastic profits. For ex. Maruti was the leader of car revolution, and its stock has gone up 57 times in last 20 years! You missed Maruti, no problem – simply buy this stock now and forget for many years.

This company belongs to a 100+years old group (not TATA), has rich experience in manufacturing, has acquired high tech EV companies and is launching EV 2W/3W, E tractors, E buses, and E trucks. Already getting good response. It has been highly successful in all its businesses till now. All factors point to success.

EV industry is seeing a revolution

World is witnessing a mega EV revolution. There are multiple reasons that indicate EV sector may grow for decades to come, as mentioned below –

  • There is a burning global need to control emissions
  • EV technology has already proven itself to be a viable alternative
  • All manufacturing inputs are available, and more resources are being found
  • Economies of scale and technological advancements will improve affordability

For any technology to be a major driver of growth, it must fulfil certain conditions. It should be –

  • Able to address a global burning need,
  • Sustainable,
  • Scalable,
  • Commercially viable

EV technology checks all these points.

Huge Growth Potential in India:

  • Global EV sales have jumped 122 times from 2011 to 2021
  • Global EV sales are up 43% in 2023
  • Driven by the Indian government’s push towards sustainable mobility, growing consumer demand for new technologies, and the emergence of private players with an interest in EV technology, the future of electric vehicles in India looks promising.
  • India is one of the world’s largest markets for two- and three-wheeled vehicles, ranking among the global top five for private cars and commercial vehicles.
  • The Economic Survey of India 2023 forecasts a robust 49 percent compound annual growth rate (CAGR) in India’s domestic electric vehicle market between 2022 to 2030, with an estimated 10 million annual sales by 2030.
  • To reach these ambitious targets, the Indian government has created policies and programs like the National Electric Mobility Mission Plan (NEMMP), a broad plan to encourage the adoption of electric vehicles in India. The aim is to reduce India’s dependence on crude oil.
  • The Indian government has also formulated the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles (FAME) scheme. This plan should facilitate greater adoption rates in the coming years. The Finance Minister of India had also announced a reduction in customs duty and taxes for the 2023 budget. This will help boost the domestic production of lithium-ion batteries that power electric vehicles.
  • Many state governments like Assam, Telangana, Tamil Nadu, and Gujarat have also created attractive policies and programs to incentivize EV manufacturing in their respective territories.
  • In the 2023-24 Union Budget, Finance Minister Nirmala Sitharaman announced a budget allocation of INR 35,000 crore for crucial capital investments aimed at achieving energy transition and net-zero targets by 2070. Furthermore, she stated that the government will support Battery Energy Storage Systems with a capacity of 4,000 MWH through viability gap funding.
  • The charging infrastructure is being expanded with investments from both government and private companies in setting up charging stations. The nation’s first EV charging plaza was established by EESL in July 2020, and in just one year the number of charging stations has multiplied over five times.
  • With the government’s commitment to promoting the use of EVs, increasing consumer awareness and acceptance, and advancements in technology, are all set to drive growth in the EV market in India
  • Electric vehicles (EV) accounted for just 2.4% of India’s car sales in January-July, it shows there is a huge potential that remains to be tapped
  • Maruti was listed at Rs 173 (adjusted price) in 2003, in next three years became 5 times
  • In same time Tata Motors stock price became nearly 6 times (from 30 to 170)
  • Somewhat similar growth may be seen again, as old vehicles get replaced by EV, especially for new companies making ONLY EVs, not IC engine vehicles. That is why we have selected a new entrant.

Company Highlights –

  • A super strong financially sound company – silently preparing to disrupt EV markets
  • It is entering in small as well as large EVs
  • First time venturing into automobiles industry
  • Decades of experience in auto related engineering, that would help in its entry in EV
  • 100+ years old group, present in all continents
  • 50,000+ crores group revenues last year 
  • Excellent sales and profit growth for last several years
  • Large shareholding by FII, DII, and AIFs
  • Market leaders in various industrial products
  • Existing pan India retail network
  • Won several consumer and engineering awards

This group has grown for a century now, has extremely diversified business mainly in industrials. It has acquired various EV related companies in the last few years. All of them have proven and highly competitive technologies. Now it is ready with a strong arsenal of EV products that will be hugely successful, just like all its other businesses.

Suggested Holding PeriodRisk LevelGrowth Certainty
3-5 yearsLowVery High

Buy this stock report now!

Electric Vehicles – New Entrant

1,500.00

Big beneficiary of EV Revolution. Launching EV 2W/3W, E tractors, E buses, and E trucks.

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