This post was originally published on this site
https://i-invdn-com.investing.com/news/LYNXNPEC0E0NG_M.jpg
There is speculation that the current semiconductor chip shortage could last for another two years, making the EV industry’s near-term growth prospects look bleak. Indeed, investors’ pessimism in the EV space is evidenced by the Global X Autonomous & Electric Vehicles ETFs’ (DRIV) 2.2% returns over the past month versus the tech-heavy Nasdaq’s 5.5% gains.
Given this backdrop, we believe it is wise to avoid EV stocks Ideanomics, Inc. (IDEX), Nuvve Holding Corp. (NVVE), and Ayro, Inc. (AYRO). Their sky-high valuations are not justified by their weak financials and growth prospects. So, the prices of these stocks could continue declining in the coming months.
