Best Electric Vehicle Stocks in India

The electric vehicle (EV) market in India is rapidly evolving and has become a multifaceted sector influenced by the diverse demands of various key stakeholders. The size of the electric vehicle market in India was USD 8.03 billion in 2023. It is projected to grow from USD 23.38 billion in 2024 to USD 117.78 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 22.4% during this forecast period. In this article, we will delve into the best electric vehicle stocks in India.

India’s EV sector encompasses electric two-wheelers (E2Ws), electric three-wheelers (E3Ws), electric four-wheelers (E4Ws), and electric buses (E-Buses). As the population continues to grow, environmental concerns mount and fuel prices rise, there is an increasing demand for cost-effective and sustainable transportation solutions, with E2Ws emerging as the most fitting choice.

The Indian government has been actively promoting the adoption of electric vehicles through a range of policy incentives, including subsidies, tax benefits, and the establishment of charging infrastructure. These initiatives are essential for facilitating the transition to cleaner transportation options across the country. 

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The Indian automobile industry currently holds the fourth position on a global scale and is projected to advance to the third position by 2030. This shift is primarily driven by the surging demand for electric vehicles, a trend accentuated by the growing population. India’s substantial reliance on traditional energy resources, particularly as it imports nearly 88.2% of its crude oil, is no longer a sustainable choice.

Additionally, NITI Aayog has set a bold target of achieving a 70% penetration rate for electric vehicles (EVs) across all vehicle types by 2030, with the ultimate goal of achieving net-zero carbon emissions by 2070. According to data from the Ministry of Heavy Industries, approximately 0.52 million EVs have been registered in India over the past three years, signalling a significant shift towards electric mobility.

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What is an Electric Vehicle (EV)?

An electric vehicle (EV) is defined as a mode of transport that operates primarily on electricity, utilizing an electric motor instead of a conventional internal combustion engine that relies on gasoline or diesel fuel. EVs draw power from a battery, which can be charged from an external source, making them a cleaner alternative to traditional vehicles.

EVs offer several advantages, including lower operating costs, minimal maintenance needs, and quiet operation. Most importantly, they produce no harmful emissions, contributing to reduced air pollution and greenhouse gas emissions. Given these benefits, investing in electric vehicle stocks in India presents promising growth opportunities as the market continues to expand.

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Top EV Stocks in India

Let’s take a closer look at the leading electric vehicle related stocks in India, ranked by their 1 Year Return (%), Price to Sale, and ROCE (%):

Name	1Yr return (%)	Price/Sales	ROCE (%)	Profit/Loss (%)*
Amara Raja Batteries	70.33	1.91	18.70	3.73
Hero MotoCorp	23.49	2.38	29.10	(4.21)
Mahindra & Mahindra	86.58	2.51	13.60	4.57
Himadri Speciality Chemical	89.21	5.33	19.1	13.60
Ashok Leyland	32.38	1.4	15	5.16
Exide Industries	55.40	2.10	10.20	8.27
TVS Motor Company	30.44	2.76	14.70	3.86
Hindustan Copper	58.79	12.9	18	10.40
Greaves Cotton	73.74	1.51	3.72	38.64
High Energy Batteries (India)	18.42	7.76	27.9	13.04
Motherson Sumi Systems	3.40	3.07	48.00	3.90
Kabra Extrusion Technik	20.70	3.12	10.4	11.91
Sona BLW Precision Forgings	10.77	12.2	24	(7.15)
TATA Motors	9.70	0.66	20.10	0.98
Tata Chemicals	7.56	1.81	7.81	3.11
Olectra Greentech	28.21	7.93	14.80	11.90
JBM Auto	31.77	3.23	14.4	23.21
Graphite India	9.46	3.34	1.44	19.00

* Profit/Loss is updated in real-time on the basis of prices on 19 November 2024

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#1 Amara Raja Batteries – Leading in Best EV Stocks in India

Amara Raja Battery, operating as Amara Raja Energy & Mobility Limited, is a well-established name in India’s battery manufacturing sector, having started its journey in 1985. In the fiscal year 2023-24, the company achieved a remarkable revenue of around INR 11,260 crore, showcasing its robust market presence. The company has also reported a net profit of INR 906 crore in FY 2024, indicating its strong financial health and operational efficiency.

Among its popular brands, Amaron stands out for its innovative zero-maintenance automotive batteries, while PowerZone and Amaron Quanta cater to diverse customer needs. Amara Raja supplies batteries to major original equipment manufacturers (OEMs) like Maruti Suzuki and Hyundai and exports its products to over 50 countries, reinforcing its status as a leader in the battery industry.

1 Year returns: 98.11%

#2 Himadri Speciality Chemical – Among the Best EV based Stocks in India

Himadri Speciality Chemical, established in 1987, is a leading manufacturer in the speciality chemicals sector, particularly known for its coal tar and derivatives. For the fiscal year 2023-24, the company reported a revenue of approximately INR 4,185 crore and has seen a net profit of INR 411 crore, reflecting robust operational performance.

Himadri has developed both natural and synthetic varieties of anode material for Li-ion Batteries. Li-ion batteries are used in Consumer Electronic devices like Mobiles, Electric Vehicles, and Energy Storage Systems (ESS). In May 2023, Himadri acquired nearly 13% equity in Australia-based Sicona Battery Technologies which specializes in high-capacity silicon anode technology.

1 Year returns: 96.73%

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#3 Mahindra and Mahindra (M&M) – Driving Investor Confidence in Electric Vehicle Stocks in India

Mahindra & Mahindra, founded in 1945, is a leading Indian multinational company known for its automotive manufacturing and diverse product portfolio. For the fiscal year 2022-23, it reported a revenue of approximately INR 1,39,078 crore and a net profit of around INR 12,270 crore, demonstrating strong financial health. The company offers popular brands like the Mahindra Thar, XUV500, and Bolero.

In the evolving electric vehicle (EV) landscape, Mahindra is making significant strides, particularly in the electric three-wheeler segment through its subsidiary, Mahindra Last Mile Mobility Limited. With a market share of 9.3% in electric three-wheelers, Mahindra has sold over 1.4 lakh EVs to date, including models like the Treo and e-Alfa Super. Additionally, Mahindra is expanding its electric SUV offerings and launched models such as the XUV400 EV, and XUV e8 based on its innovative INGLO platform, which aims to enhance performance and sustainability in the EV sector.

1 Year returns: 90.06%

#4 Hindustan Copper –  Powering the Future of Electric Vehicles

Hindustan Copper Limited (HCL), established in 1967, is India’s only vertically integrated copper producer, involved in mining, smelting, refining, and casting. For the fiscal year 2022-23, HCL reported a revenue of approximately INR 1,717 crore and achieved a net profit of around INR 295 crore. The company markets various products under its brand, including copper cathodes, continuous cast copper rods, and by-products like copper sulphate and anode slime. HCL plays a crucial role in supporting the domestic copper industry, ensuring sustainable mining practices while contributing to key sectors such as power and construction.

1 Year returns: 68.84%

#5 Exide Industries – A Powerhouse Among Electric Vehicle Stocks in India

Founded in 1947, Exide Industries is primarily involved in the production of storage batteries and related products in India. The company specializes in the manufacturing of batteries for various segments within the automotive sector, including 2-wheelers, 4-wheelers, 3-wheelers, E-rickshaws, and H-UPS.

The company is presently in the process of establishing the initial lithium-ion battery cell manufacturing facility in India. Given that lithium plays a central role in the realm of EVs, Exide Industries holds the potential to emerge as a profitable EV stock.

1 Year returns: 57.82%

#6 Hero MotoCorp – Black Horse Among EV-based Stocks in India

Hero MotoCorp is known as the leading manufacturer of traditional motorcycles and thus, may appear a misfit in this list of top EV stocks in India. However, there is more to Hero Moto than being the world’s largest internal combustion engine two-wheeler manufacturer. The company was one of the early backers of leading EV maker Ather Energy and holds a 38% equity stake in it. Hero Moto has also launched its own EV brand named VIDA.

Beyond these direct steps, Hero MotoCorp has worked towards developing a supporting infrastructure for EVs and has tied up with Gogoro and BPCL to address range anxiety.

1 Year returns: 47.24%

#7 TVS Motors

TVS Motors, a leading manufacturer of two-wheelers and three-wheelers, has established itself as a significant player in the automotive industry. The company reported a revenue of INR 39,145 crores and a net profit of INR 1,779 crores in the last FY 2024. Its popular brands include TVS Apache, TVS Jupiter, and TVS iQube, the latter marking its entry into the electric vehicle (EV) market. With a strong focus on sustainability, TVS Motors aims to enhance its presence in the EV landscape, projecting that electric vehicles will contribute 25-30% of its sales as it expands its innovative product lineup.

1 Year returns: 45.47%

#8 TATA Motors

Tata Motors is an Indian multinational automotive manufacturing company headquartered in Mumbai, Maharashtra. It is a part of the Tata Group, which ranks among India’s largest business conglomerates. Tata Motors is renowned for its expertise in manufacturing a diverse range of vehicles, which includes cars, SUVs, trucks, buses, and defense vehicles.

It has been actively engaged in the research, development, and production of EVs. The company has been a trailblazer in the Indian EV market, pioneering the launch of the first fully-electric vehicle in India back in 2010, known as the Tata Indica EV.

Tata Motors has further solidified its commitment to electric mobility by collaborating with other companies to establish essential EV infrastructure and support systems. This includes the development of charging stations and battery-swapping technologies, all aimed at fostering and promoting the adoption of electric vehicles in India.

1 Year returns: 16.84%

#9 JBM Auto

Established in 1983, JBM Auto Limited is a leading manufacturer of key auto systems with a growing presence in the e-mobility space. Its dynamically evolving portfolio of revolutionary, future-ready products, comprises auto systems, high-level assemblies, EVs, and buses. The company is continuously leveraging its core strengths, led by strong R&D and innovation capabilities, to pursue excellence through the application of alternative materials and technologies.

1 Year returns: 19.31%

#10 High Energy Batteries – Beyond Automobiles

Incorporated in 1979, High Energy Batteries (India) is an established manufacturer of Hi-Tech batteries for use in the Army, Navy, Airforce, Satellite Launch Vehicles, and commercial batteries for Auto and Standby VRLA applications. The company also exports products to various countries.

The company manufactures Aircraft Batteries, Torpedo Batteries, Missiles, and Helicopter Batteries for the Defence sector, Car batteries and Truck batteries for the automotive sector, and VRLA Batteries among others.

1 Year returns: 11.96%

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#11 Kabra Extrusion Technik

ROCE: 15.12%
1 Year returns: -12.28%

#12 Motherson Sumi Systems

ROCE: 43.82%
1 Year returns: 19.15%

#13 Olectra Greentech

ROCE: 13.29%
1 Year returns: 192.02%

#14 Ashok Leyland

ROCE: 11.43%
1 Year returns: 21.46%

#15 Sona BLW Precision Forgings

ROCE: 22.05%
1 Year returns: 54.99%

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FAQs on Electric Vehicle Related Stocks in India