HomeMarket NewsThe Shocking Potential of Penny EV Stocks for a Roaring 50% Comeback

The Shocking Potential of Penny EV Stocks for a Roaring 50% Comeback

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The electric vehicle (EV) market is currently navigating through choppy waters, facing not just external economic challenges or fierce competition but also grappling with doubts surrounding EV adoption as key industry players retract investment commitments.

Despite these hurdles, the recent bearish market sentiment has created an enticing opportunity to scoop up undervalued penny EV stocks. Every glimmer of positivity could potentially catapult these stocks to a resounding rally as they rebound from oversold levels. This article homes in on three such underdog stocks with the potential to soar in the near future.

Solid Power: Sparks of Hope Reignite

Smartphone with logo of American battery company Solid Power Inc. on screen in front of business website. Focus on center-left of phone display.

Source: T. Schneider / Shutterstock.com

The fortunes of Solid Power (NASDAQ:SLDP) have witnessed a rollercoaster ride with a price surge above $2, only to slide back to $1.6 due to prevailing industry pessimism. This downturn offers a golden opportunity to accumulate shares, with a projected 50% upward swing by the close of 2024.

Boasting efforts to usher in commercial solid-state batteries, Solid Power has joined forces with automotive heavyweights such as Ford (NYSE:F) and BMW (OTCMKTS:BMWYY). Noteworthy collaborations also extend to Korea’s SK On, potentially opening up pathways to the Korean market.

The shipment of A-1 cells for validation testing in October 2023 and further strides towards developing safer, high-performance A-2 sample cells in 2024 position Solid Power for a marked stock surge.

Wallbox: Charging Up for a Resilient Rebound

An iPhone screen with the Wallbox (WBX) logo on it in front of a computer screen.

Source: Wirestock Creators / Shutterstock.com

Within the EV charging sector, Wallbox (NYSE:WBX) shines as an undervalued gem poised for a robust comeback. Despite a 58% dip in WBX stock over the past year, positive business metrics suggest a potential reversal of fortune.

Wallbox’s robust Q4 2023 performance, marked by a 34% revenue uptick and a 54% YoY surge in adjusted EBITDA, lays the groundwork for a promising 2024 characterized by growth and profitability. The acquisition of German EV charging leader ABL coupled with product expansions paints a picture of accelerated growth.

Nio: Revving Up for a Phoenix-like Revival

A mobile with NIO at horizontal composition.

Source: Freer / Shutterstock.com

Nio (NYSE:NIO) has weathered a near 60% stock slump in the last year due to lackluster business and financial performance. Nevertheless, with indicators pointing to oversold territory, NIO is on the brink of a vigorous revival, though best seen as a tactical trading bet.

Nio’s imminent deliveries of ES7, ET7, and ET5 in Q2 2024 spell potential growth acceleration, further bolstered by a $2.2 billion strategic equity infusion from CYVN. With a hefty cash reserve of $8.1 billion and a focus on enhancing margins through cost-efficiency, NIO is poised for a compelling rally.

Strongly advocating for a trade-in, I foresee NIO stocks blazing back to life from their current bleary depths.

On Penny Stocks and Low-Volume Stocks: InvestorPlace refrains from discussing entities with market caps below $100 million or trading volumes under 100,000 shares per day due to their susceptibility to market shenanigans. We prioritize caution and transparency to safeguard our readers from potential risks.

Read More: Unlocking Penny Stock Potentials β€” Navigating the Perils to Reap Rewards

Today’s coverage was penned by Faisal Humayun, a seasoned research analyst well-versed in the realms of credit research, equity analysis, and financial modeling, boasting over a decade of hands-on experience in technological, energy, and commodity sectors.

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The post 3 Penny EV Stocks to Buy for a 50% Rally From Oversold Levels originally appeared on InvestorPlace.

All views expressed herein belong to the author and do not necessarily align with those of Nasdaq, Inc.

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