Rearview Mirror: 7 Electric Vehicle Stocks to Sell Immediately

The electric vehicle world is relatively new, but some stocks are underperforming. Here are seven electric vehicle stocks you should sell this month.

The stock market has its ups and downs, and most experts will tell you to ride out some of the waves for long-term growth. This advice typically applies to companies with proven long-term success, not new upstarts that could be out of business quickly. When it comes to new companies in uncharted waters, it’s best to be vigilant and ready to dump the stock should something go awry.

Here are seven electric vehicle stocks you should consider selling this month.

Lordstown Motors (RIDE)

Lordstown Motors is on the verge of losing the funding required to keep it going due to an ongoing problem with Foxconn. Whenever a company looks to consider legal and financial options, things look pretty bleak for that company. Foxconn has a planned and approved investment of $47.3 million into Lortdstown Motors, but this investment has not materialized. If another investor isn’t found, this EV startup will likely need to file for bankruptcy soon, and then it will be gone from the stock market.

Canoo (GOEV)

Canoo looked to have a bright future as a promising electric vehicle stock, but that is gone. Over the past year, the stock price has declined more than 83% and more than 50% in the past six months. This downward turn should be concerning for any investor with money tied up in Canoo. The cash reserves are dwindling, which signals financial doom for this company. Canoo may also have to file for bankruptcy unless things turn around soon.

Electrameccanica Vehicles (SOLO)

This company creates three-wheeled EVs, which should give it a leg up in some areas of the market, but the opposite has been true. This company is challenged with problems in this sector, making it difficult to gain a foothold. This niche approach to EVs should make it successful, but the financial health of the company is something investors should be concerned with. The movement of production from China to the United States will likely strain profits even more. If you own any of this stock, now is the time to sell, but you’ll want to watch to see if it realizes a bounce back in the near future.

Lucid Group (LCID)

Over the past year, Lucid Group has lost more than 61%, with its first-quarter earning offering a distressing picture of a terrible financial situation. Lucid projected sales figures that were well above actuality, causing the company to experience performance that’s extremely poor. The company only sold 2,300 vehicles during the first quarter compared to 3,500 for the previous quarter. This sharp decline is creating significant problems for the company and makes LCID an electric vehicle stock you should sell.

Faraday Future (FFIE)

Faraday Future appeared on the path to success with incredible monetary investments from many investors, but delays in production and delivery have caused problems for this company. This is one of the electric vehicle stocks you should sell if you’ve got any stake in Faraday. The company might be heading into a price point only a few can handle, with the FF91 EV priced at $180,000. This means it could take years before this EV automaker ever turns a profit if they do so at all.

Nikola (NKLA)

Nikola faces incredible financial strains, which means the dwindling cash reserve on hand won’t last too long. This company has become popular for making hydrogen-electric trucks, but the continued losses are straining the reserves and creating a challenge for Nikola. The recent scandal involving its founder is another challenge, especially after wire and securities fraud convictions came to light. Is there any way Nikola can bounce back? Maybe, but you shouldn’t be part of the fall before the rebound.

Fisker (FSR)

Although the Fisker name garners a great deal of respect in many corners of the automotive market, this EV company is on the brink of collapse. The Fisker Ocean SUV is less than impressive, considering it’s supposed to fit into the luxury EV segment. The production goals for the year have been cut, which immediately reduces the potential profits that could be made. This is one of the worst electric vehicle stocks to be involved with right now. The stock trades at more than 3,681 times the trailing twelve-month sales, which could spell financial doom for the company and investors.

If you’re invested in any of these electric vehicle stocks, you should seriously consider getting out and putting your money into other companies until these companies prove they are worth your time and investment.