Credit & Source – KrisDom – Investor
Do you want to hear all about India’s electric vehicles deployment status along with top 25 stocks connected to this emerging billion-dollar industry?
Let us look at the conventional vehicles, we see a fuel tank, engine and transmission system, whereas in the electric vehicles we see a Battery, Motor/generator, and transmission system. Conventional vehicles are usually known as Internal combustion engine ICE vehicles.
A host of ICE components will be replaced; if we dig deep, significant component differences are shown. Replacement is that Fuel station with charging stations, Fuel tank with battery, an engine with motor, engine control unit with the battery management system, and auxiliary power will hold DC-DC inverter in the electric vehicles.
The percentage of the costs involved is shown here, pause and examine. Auto components will be reduced by 2/3rd, where EV will have just 19 components instead of 30 in the ICE vehicles. EV cars need a significantly high utilisation to break even when we compare with ICE. The area where the savings for opting for EVs is shown in this figure. 180km/day is the number arrived in 2017, and now, it has drastically reduced to 80km/day.
The political structure involved in EV Policy planning and adoption is monitored from Prime Minister’s office, involves NITI AYOG, Ministry of Heavy Industries, Ministry of power, ministry of urban development, ministry of finance, ministry of roads, and department of science and technology.
NITI Aayog drafted a three-phased plan to propel electric and shared mobility. We are currently in the second phase of EV adoption, which involves charging infra development, shortlisting regulatory policies and incentives, etc.
The Indian government took many policy initiatives both on the supply and demand side, cost differential for EVs has drastically reduced. We have seen many EV launches in the recent past, isn’t it?
Many technological advancements can be foreseen in the existing Original Equipment Manufacturers, also known as OEMs in the Indian Auto sector. The industry accounts for 7.1% of the country’s Gross Domestic Product (GDP). There are three key manufacturing clusters in India comprising 15 OEMs in passenger vehicles, 13 in 2 wheelers, 7 in 3 wheelers, 12 in commercial vehicles, and 17 in tractors. All the companies are provided here for your reference. Out of these traditional vehicles, i.e. fuel-based OEMs, At present, there are only three electric car manufacturers, about 10+ players in 2 Wheelers and 3-4 OEM’s in Electric buses. Mahindra Electric is the first major EV manufacturer in India. TATA MOTORS has recently entered the EV market in passenger vehicles and Electric buses, also some news of a potential collaboration with TESLA.
Charging stations involvement is crucial, so power sector stocks which supply power are also part of this EV revolution. We need 20% extra electricity to cater if all vehicles charged at the same time. Figures show annual electric energy and peak power required to charge EVs based on the present state to 7 years ahead.
I have categorized the EV stocks into 5 categories such as stocks related to OEMs, Battery, Battery Management System BMS, Electric Motors, Inverters, other ancillaries, and charging stations.
25 stocks are related to each of these categories as shown. I have not considered some of the popular stocks owing to their current valuations, decreasing cash flows and limited price appreciation.
| # | Stock Name | PE | Market Cap | Debt | Promotors Holding |
| 1 | Ashok Leyland | ||||
| 2 | Hero MotoCorp | ||||
| 3 | Mahindra & Mahindra | ||||
| 4 | Olectra Greentech Ltd | ||||
| 5 | Tata Motors | ||||
| 6 | Amara Raja Batteries | ||||
| 7 | Hbl Power Systems | ||||
| 8 | Himadri Special Chemical | ||||
| 9 | Tata Chemicals | ||||
| 10 | Exide Industries | ||||
| 11 | WABCO India | ||||
| 12 | Vakrangee Ltd | ||||
| 13 | Tata Elxsi Ltd | ||||
| 14 | ABB Ltd | ||||
| 15 | Bosch Ltd | ||||
| 16 | Greaves Cotton | ||||
| 17 | Motherson Sumi Systems | ||||
| 18 | Sundaram – Clayton Limited | ||||
| 19 | Varroc Engineering | ||||
| 20 | Endurance Technologies | ||||
| 21 | Indian Oil | ||||
| 22 | NBCC (India) Limited | ||||
| 23 | NTPC Ltd | ||||
| 24 | Urja Global Ltd | ||||
| 25 | Tata Power | ||||
Electric Vehicle Charging Infrastructure Stocks
| #1 | Reliance Industry |
| #2 | Tata Power |
| #3 | Bharat Petroleum |
| #4 | Indian Oil Corporation |
| #5 | ABB India Ltd |
Original equipment manufacturer – 5 Company Stocks
Ashok Leyland
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Hero MotoCorp
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Mahindra & Mahindra
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Olectra Greentech Ltd
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Tata Motors
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Battery Manufacturer – 5 Company Stocks
Amara Raja Batteries
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Hbl Power Systems
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Himadri Special Chemical
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Tata Chemicals
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Exide Industries
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Battery Management System (BMS) – 3 Company Stocks
WABCO India
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Vakrangee Ltd
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Tata Elxsi Ltd
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Motors, Interveres, Other Ancillaries – 10 Company Stocks
ABB Ltd
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Bosch Ltd
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Greaves Cotton
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Motherson Sumi Systems
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Sundaram – Clayton Limited
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Varroc Engineering
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Endurance Technologies
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EV Charging – 10 Company Stocks
Indian Oil
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NBCC (India) Limited
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NTPC Ltd
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Urja Global Ltd
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Tata Power
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