Global electric vehicle (EV) sales are on the rise, and industry sentiment is at an all-time high.
Europe reported a 171% year-over-year increase in EV registrations in August.
Tesla said it was still on track to deliver 500,000 vehicles in 2020, an increase of 36% from 2019.
The automaker expects to produce a $25,000 vehicle in the next three years, suggesting EVs will soon be cheaper than gas-powered vehicles.
The data speaks for itself: EVs are on their way to accounting for the majority of vehicle sales.
With a lower price and full self-driving capabilities on the way, annual EV sales are expected to increase by 24 times over the next two decades.
(Source: Bloomberg.)
In anticipation of the surge in EV sales, investors have bid up companies with ties to the industry — sending their stock prices to all-time highs.
Despite the market’s EV frenzy, it appears investors are overlooking one key aspect of EV growth.
Electric Vehicles Have a Charging Problem
Bloomberg estimates that 290 million charging points are needed globally by 2040 to support the growing EV fleet.
Right now, there are only 4 million charging points installed.
This means the number of charging points will need to increase by 7,150% to keep up with EV demand.
(Source: Bloomberg.)
Bloomberg estimates $391 billion will be invested in charging infrastructure by 2040. That number could hit $500 billion by 2043.
More than $100 billion of that investment is expected to be spent on public infrastructure, with the majority coming from government entities.
The number of EVs per charging points currently stands at 7.5 globally. This ratio will need to decline dramatically in order to make EV adoption scalable.
In the short term, commercial charging demand will be the most prevalent.
Businesses and cities are transitioning to EV fleets to cut costs and reduce carbon emissions.
Annual commercial and bus sales are expected to increase by over five times in the next five years.
(Source: Bloomberg.)
Your Opportunity for 1,000% Gains
For full-scale EV adoption to occur, investment in charging infrastructure is a necessity.
With such a large opportunity on the horizon, companies that take advantage will see their stock prices soar.
For example, one tiny, innovative firm has already set up its charging systems in 100 cities in 16 states across the country.
Ian King believes shares of this company will go up 1,000% — or potentially even more — in the next 12 months.
He’ll have more details for you about this incredible opportunity in his upcoming New Era Fortunes Summit.
This special event will take place on Thursday, October 29, at 1 p.m. Eastern time.
If you haven’t RSVPed yet, you can do so now by clicking here.
Regards,
Analyst, Automatic Fortunes
