Contributor, Benzinga
February 16, 2024

The push for more sustainable energy has been rapid over recent years, and the automotive market has faced its fair share of criticism. As a result, the electric vehicle (EV) market has made tremendous leaps forward. Individuals are seeing incredible growth in the number of EVs worldwide and on the roads. And this may only be just the beginning as customers continue the EV transition.

The growth in this market has also presented buying opportunities for many EV penny stocks that may be set for tremendous growth in the future. Here is Benzinga's list of the best EV penny stocks for your portfolio.

Quick Look at the Best Performing Penny Stocks:


The Best EV Penny Stocks

The transition to EVs will take some time, but the growth of this market should not be underestimated. No market is guaranteed to be profitable, but the EV industry looks poised for growth given macro tailwinds.

Here are some stock ideas for unique automakers that have pushed past the gasoline car, given rise to charging stations and turned into growth stocks in many cases.

1. Ideanomics Inc (NASDAQ: IDEX)

Last update: 4:02PM (Delayed 15-Minutes)
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Open0.820Close0.800Vol / Avg.328.749K / 539.559KMkt Cap10.053MDay Range0.751 - 0.82652 Wk Range0.802 - 16.125

Ideanomics: Ideanomics is a global company that facilitates the adoption of commercial EVs and supports next-generation financial services and fintech products.

Its EV division, Mobile Energy Global (MEG), provides group purchasing discounts on commercial EVs, EV batteries, financing and charging solutions.

The company acquired a 70% stake in Energica Motor Company, an Italian manufacturer of high-performance electric motorcycles. Meanwhile, the company has previously acquired VIA Motors, Solectrac, Treeletrik, Wave and U.S. Hybrid.

2. Kandi Technologies Group Inc (NASDAQ: KNDI)

Last update: 4:00PM (Delayed 15-Minutes)
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Open2.200Close2.220Vol / Avg.209.956K / 91.704KMkt Cap193.935MDay Range2.160 - 2.26052 Wk Range2.000 - 4.270

Kandi Technologies: Kandi Technologies Group is engaged in the development, production and distribution of EV products, EV parts and off-road vehicle products, primarily in the Chinese market.

In December 2021, Kandi announced its wholly-owned subsidiary Jiangxi Province Huiyi New Energy would be in charge of mass production of the company’s advanced lithium iron phosphate battery, one of the more advanced batteries in the market.

3. Volta Inc (NYSE: VLTA)

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Volta: Volta is engaged in the industry of commerce-centric EV charging networks. It builds EV charging networks that capitalize on and catalyze the shift from combustion-powered miles to electric miles by placing stations where consumers are active.

Shell USA, Inc. has completed the acquisition of Volta Inc. for an equity purchase price of around USD $169 million or $0.86/share in cash.

Shell USA's acquisition of Volta is expected to have a positive impact on Volta's share price, as it provides the company with financial resources to expand its EV charging network. Shell's endorsement of Volta's business model and expertise may also boost investor confidence and drive up the share price.

4. Xos Inc (NASDAQ: XOS)

Last update: 8:57AM (Delayed 15-Minutes)
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Open8.510Close8.493Vol / Avg.11.486K / 17.973KMkt Cap65.877MDay Range8.350 - 8.81852 Wk Range5.500 - 19.800

Xos: Xos is an electric mobility company. It designs and develops fully electric lithium battery mobility systems specifically for commercial fleets. The company's primary focus is on medium- and heavy-duty commercial vehicles that travel on last-mile routes.

The group has also expanded through a strategic partnership with NationaLease and its release of Xos Hub, a mobile charging station for commercial fleets.

The partnership coupled with Xos Hub's launch will hope to expand Xos’ footprint across North America.

5. CBAK Energy Technology Inc (NASDAQ: CBAT)

Last update: 3:58PM (Delayed 15-Minutes)
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Open0.930Close0.950Vol / Avg.219.831K / 129.191KMkt Cap85.432MDay Range0.930 - 1.02052 Wk Range0.740 - 1.450

CBAK Energy Technologies: CBAK Energy Technology is engaged in the manufacture, commercialization and distribution of a variety of standard and customized lithium-ion high-power rechargeable batteries, which are mainly used in EVs and light EVs.

The company plans to ramp up production to meet increasing demand for its products. According to Technavio, the lithium battery market is projected to reach $58 billion by 2025, making CBAT stock a noteworthy investment opportunity.

6. American Lithium Corp. (NASDAQ: AMLI)

Last update: 9:28AM (Delayed 15-Minutes)
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Open0.613Close0.590Vol / Avg.771.210K / 437.834KMkt Cap137.294MDay Range0.570 - 0.61652 Wk Range0.614 - 2.480

American Lithium: American Lithium is a Canadian company that focuses on acquiring and developing resource properties in the Americas, with a primary focus on lithium projects in Nevada and Peru. It owns the world's largest lithium resource bases and recently announced a move to Nasdaq exchange. AMLI stock is expected to increase in value because of supply chain disruptions and the rising price of lithium, making it a penny stock to watch.

What Are EV Penny Stocks?

A penny stock is a small company that trades for less than $5 per share. Investors can find some penny stocks on large exchanges such as the New York Stock Exchange or the Nasdaq. However, most penny stocks trade over the counter (OTC).

EV penny stocks are companies that trade for less than $5 in the EV market. And, as the market continues to grow on an upward trajectory, some of these penny stocks may come at an excellent price for investors.

Why Invest?

Assessing the pros and cons of EV penny stocks is essential. Of course, each penny stock, whether in the EV industry or not, will need to be researched in-depth to decide if it is the right company to invest in, but here are some factors you should consider for the EV industry. The combustion engine is, on some level, on the way out, especially as home charging and lithium battery production become more feasible.

Growth in the Industry

The development of the EV market has been immense, and it is a common occurrence that rising tides lift all ships. So, if the market continues on its current trajectory, EV companies will likely benefit, whether they are penny stocks or not. As market conditions shift in the vehicle industry, share prices could change at any moment.

Requires Little Starting Capital

The low initial investment needed to buy penny stocks is one of its most significant advantages. As a result, many people are able to acquire shares in penny stocks and, if they are correct in their assessment of the company, realize a healthy profit. Buying into companies like Nio Inc, Ford Motor, General Motors, Polestar and more is generally affordable.

More Opportunity

Government assistance and the expanding EV industry are increasing the opportunities available to EV firms. Many EV penny stock companies are aiming for substantial growth and are currently in the beginning phases of their life cycles. Thus, many investors can get in early on some potential future EV winners.

Risks Involved

Despite the potential positives, penny stocks come with significant drawbacks, and investors must face the risks of a potentially volatile market.


Trading or investing in penny stocks is known to be more volatile, and investing in penny stocks in a growth market such as EV comes with increased risk, especially when a stock market downturn occurs. Therefore, this factor must be considered before investing in EV penny stocks. Just as the powertrain on an EV is more delicate, these assets can also be quite volatile.

Higher Probability of Loss

Because of their inherent risk, penny stocks frequently exhibit risky behavior to get a foothold in the market. As a result, many penny stocks can make considerable losses and even fail as a company.

Little History

Only recently have changes been seen in the EV sector. Numerous risks might arise if you add this to a lack of knowledge in general of penny stocks. Many penny stocks are young companies or may soon file for bankruptcy. The potential of an EV stock may be difficult to evaluate as a result. Yes, you might know of the Nissan Leaf, the Tesla Model S, the Chevrolet Bolt EV or the Chevrolet Silverado EV, but many of these companies don’t have a history that you can lean on.


Liquidity issues for equities can lead to several issues. And with penny stocks, liquidity can vary significantly. Investors may struggle to sell the stock during times of low liquidity. In addition, it is easier for investors to manipulate a stock's price, leaving a trader at risk.

Compare Penny Stock Brokers

If you wish to invest in EV penny stocks and have assessed the risks and benefits of the industry, then it is essential to find a broker that suits you. You can choose from many brokers when you want to buy into General Motors Company, Ford Motor Company or Rivian, but you can look into the enterprise value of smaller firms to save some money on your initial investment.

Listed below are some of the best penny stock brokers you may want to check out.

Research Matters

It is important to do your research when considering investing in EV penny stocks. They have the potential to be great investments, but they come with a higher risk of loss. Consider all the factors before making any decisions.

Frequently Asked Questions


What penny stock is the best to buy now?


There is no outright best penny stock to buy. In the current market environment, investing in high-growth penny stocks such as EVs may not be favorable as the market remains highly volatile. 


Which stocks will benefit from EVs?


While the EV market share continues to increase, petrol and diesel cars are being negatively impacted. Newer, greener and renewable alternatives benefit from that sector’s growth. 


Can you get rich off penny stocks?


Investing in penny stocks can be risky due to their volatility and susceptibility to manipulation. These stocks are often associated with small, unproven companies and require extensive research and analysis. 

EV Penny Stocks Methodology 

Benzinga analyzed multiple companies in the electric vehicle market to determine the best EV penny stocks. Their methodology included researching and analyzing companies involved in EV production, evaluating financial performance, considering market presence and innovation, examining partnerships and acquisitions, analyzing industry outlook, and assessing risks. The selected stocks were identified as potential investment opportunities, but further research and due diligence are recommended before making any investment decisions. This is not investment advice.