3 Electric Vehicle Suppliers Quietly Powering the EV Revolution

The electric vehicle sector is booming, driven by several factors like supportive government initiatives, evolving charging infrastructure, rising fuel prices, and environmental concerns. Thus, quality electric vehicle stocks Siemens Aktiengesellschaft…

By Rjkumari Saxena | Feb 03, 2025
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The electric vehicle sector is booming, driven by several factors like supportive government initiatives, evolving charging infrastructure, rising fuel prices, and environmental concerns. Thus, quality electric vehicle stocks Siemens Aktiengesellschaft (SIEGY), BYD Company (BYDDY), and NXP Semiconductors (NXPI) could be ideal choices for potential gains. Read more.

Electric vehicles are trending more and more amongst consumers, resulting in advanced sales. This favors the operations of electric vehicle suppliers that are powering the EV revolution. Further, technological innovation, growing investments in infrastructure, and favorable government funding and policies open further avenues.

Given the industry鈥檚 tailwinds, it could be wise to invest in fundamentally sound electric vehicle stocks Siemens Aktiengesellschaft (), BYD Company Limited (), and NXP Semiconductors N.V. () for substantial returns.

Amid the accelerating digital transformation and energy transition across multiple industries, demand for electric vehicles is also growing strongly. More and more consumers are leaning towards EVs owing to their qualities like fuel efficiency, cost-effectiveness, and long-term outcomes.

This same trend was reflected in the sales graph for the previous year. In 2024, sales of all-electric vehicles and hybrid models created a record and in the U.S. for the first time with the sale of 3.2 million 鈥渆lectrified鈥 vehicles, marking a significant milestone for green vehicles.

Also, over the previous periods, the share of electric and hybrid vehicle sales maintained its growth rally driven by higher demand for battery electric vehicles (BEV). Statista projects that the in the United States will reach a revenue of $104.70 billion in 2025.

Fueled by increasing government investment in the electric vehicle market, coupled with growing environmental consciousness, energy transition, and renewal energy investments, the electric vehicle market is flourishing. The U.S. electric vehicle market is projected to grow at a , resulting in a market volume of $411.80 billion by 2034.

This booming market is opening exponential prospects for all industry participants. Hence, electric vehicle suppliers contributing to the EV revolution will benefit. Given the industry鈥檚 solid growth prospects, investing in fundamentally strong electric vehicle stocks SIEGY, BYDDY, and NXPI could be wise for future gains.

Let鈥檚 discuss the fundamentals of these stocks in detail:

Siemens Aktiengesellschaft ()

Headquartered in Munich, Germany, SIEGY is a leading technology company focusing on global automation and digitalization. The company operates through Digital Industries; Smart Infrastructure; Mobility; Siemens Healthineers; and Siemens Financial Services (SFS) segments.

On January 16, 2025, SIEGY enhanced its industrial-grade private 5G infrastructure solution to enable manufacturers to cover larger industrial areas with enhanced connectivity capabilities. The significant update supports up to 24 radio units, with each unit capable of covering approximately 5,000 m虏.

On January 7, 2025, SIEGY announced an innovative collaboration with Spinnova, a sustainable textile technology company, to assist in transforming the textile industry with sustainable fiber production. The collaboration underscores SIEGY鈥檚 strategic commitment to driving sustainability and digitalization in manufacturing industries.

For the fiscal fourth quarter that ended September 30, 2024, SIEGY鈥檚 revenue grew 0.9% year-over-year to 鈧20.81 billion ($21.54 billion). The company鈥檚 income from continuing operations came in at 鈧2.18 billion ($2.25 billion), up 13.6% from the prior year鈥檚 quarter.

In addition, SIEGY鈥檚 for the quarter amounted to 鈧2.12 billion ($2.19 billion), or 鈧2.38 per share, an 11.2% growth from the previous year鈥檚 quarter, respectively. Its free cash flow from continued and discontinued operations was 鈧4.98 billion ($5.15 billion), an increase of 7.5% year-over-year.

Street expects SIEGY鈥檚 revenue for the fiscal year (ending September 2025) to increase 3.4% year-over-year to $82.57 billion. The company鈥檚 EPS for the same year is expected to grow 73.3% year-over-year to $9.94. Moreover, the company topped the consensus EPS estimates in all of the trailing four quarters, which is impressive.

Shares of SIEGY have surged 16.9% over the past six months and 19.4% over the past year to close the last trading session at $106.85.

SIEGY鈥檚 solid fundamentals are reflected in its聽. The stock has an overall rating of B, which translates to a Buy in our proprietary rating system.聽The POWR Ratings are calculated by considering 118 different factors, each weighted to an optimal degree.

SIEGY has a B grade for Value, Momentum, and Stability. It is ranked #6 out of 36 stocks in the B-rated industry.

In addition to the POWR Ratings we鈥檝e stated above, we also have SIEGY ratings for Growth, Sentiment, and Quality. Get all SIEGY ratings .

BYD Company Limited ()

Based in Shenzhen, China, BYDDY is internationally engaged in the automobile and battery business. The company operates through two segments: Mobile Handset Components, Assembly Service and Other Products; and Automobiles and Related Products and Other Products.

In terms of trailing-12-month net income margin, BYDDY鈥檚 4.97% is 16.4% higher than the 4.27% industry average. Its trailing-12-month EBITDA margin of 14.46% is 25.6% higher than the industry average of 11.51%. Also, the stock鈥檚 trailing-12-month Return on Common Equity of 23.74% is significantly higher than the 10.62% industry average.

During the nine months that ended September 30, 2024, BYDDY鈥檚 operating revenue increased 18.9% year-over-year to RMB 502.25 billion ($69.88 billion). The company鈥檚 total profit for the period rose 20.1% from the prior-year period to RMB 31.32 billion ($4.36 billion).

In addition, the company鈥檚 net profit and EPS were RMB 26.25 billion ($3.65 billion) and RMB 8.68, up 17.6% and 18.1% year-over-year, respectively.

Analysts expect BYDDY鈥檚 revenue and EPS for the fiscal year (ended December 2024) to increase 25.9% and 39.6% year-over-year to $105.08 billion and $3.78, respectively.

BYDDY鈥檚 stock has gained 17.7% over the past six months and 56% over the past year to close the last trading session at $70.08.

BYDDY鈥檚 bright prospects are reflected in its POWR Ratings. The stock has an overall rating of B, equating to a Buy in our proprietary rating system.

The stock has an A grade for Sentiment. It also has a B grade for Growth and Quality. BYDDY is ranked #7 among 48 stocks in the industry.

to access other BYDDY ratings for Stability, Value, and Momentum.

NXP Semiconductors N.V. ()

NXPI is an Eindhoven, Netherlands-based company offering various semiconductor products used in various applications, including automotive, industrial, and Internet of Things, mobile, and communication infrastructure. Its product portfolio includes microcontrollers, application processors, communication processors, and wireless connectivity solutions.

On January 8, 2025, NXPI and Honeywell (HON) expanded their partnership to accelerate aviation product development and chart the path for autonomous flight. The collaboration extends the companies’ existing relationship and will aim toward advancing large-area displays for next-generation cockpits with thinner, high-resolution screens designed to improve visual clarity and system efficiency.

Also, on January 7, 2025, NXPI entered into a definitive agreement to acquire TTTech Auto, a leader in innovating unique safety-critical systems and middleware for SDVs. The strategic acquisition will accelerate the transformation to Software-Defined Vehicles (SDV).

The operations of TTTech Auto complements NXPI鈥檚 NXP CoreRide platform and strengthens its automotive business. It marks a milestone in NXPI鈥檚 strategy to become the leader in intelligent edge systems in automotive and Industrial IoT.

In the third quarter that ended September 29, 2024, NXPI鈥檚 revenue increased 3.9% quarter-over-quarter to $3.25 billion, while its non-GAAP gross profit rose 3.2% from the prior period to $1.89 billion. Its non-GAAP operating income came in at $1.15 billion, up 7.6% quarter-over-quarter.

Furthermore, non-GAAP net income attributable to stockholders amounted to $890 million and $3.45 per share, indicating increases of 7.4% and 7.8% from the prior quarter, respectively.

As per the company鈥檚 guidance for the fourth quarter of 2024, NXPI鈥檚 total revenue is expected to be between $3 billion and $3.20 billion. The company expects non-GAAP gross profit to be $1.71 billion to $1.86 billion and non-GAAP operating income to be in the range of $994 million to $1.12 billion. Also, its non-GAAP EPS is expected to be $2.93 – $3.33.

Street expects NXPI鈥檚 revenue and EPS for the fiscal year (ending December 2025) to increase 0.6% and marginally year-over-year to $12.68 billion and $13.03. In addition, the company has surpassed the consensus EPS estimates in three of the trailing four quarters.

Over the past month, the stock has gained marginally to close the last trading session at $208.55.

NXPI鈥檚 POWR Ratings reflect its promising outlook. The stock has a B grade for Value and Quality. Within the industry, NXPI is ranked #14 in the list of 90 stocks.

to access additional ratings of NXPI for Stability, Growth, Momentum, and Sentiment.

What To Do Next?

Get your hands on this special report with 3 low priced companies with tremendous upside potential even in today鈥檚 volatile markets:

SIEGY shares were trading at $103.45 per share on Monday afternoon, down $3.40 (-3.18%). Year-to-date, SIEGY has gained 7.00%, versus a 1.83% rise in the benchmark S&P 500 index during the same period.

About the Author: Rjkumari Saxena

Rajkumari started her career as a writer but gradually shifted her focus to financial journalism, leveraging her educational background in Commerce. Fascinated by the interplay of business and economic shifts in equities, she aspires to evolve as an analyst. With a knack for simplifying complex financial concepts, her mission is to empower investors with insights that lead to profitable decisions.

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The electric vehicle sector is booming, driven by several factors like supportive government initiatives, evolving charging infrastructure, rising fuel prices, and environmental concerns. Thus, quality electric vehicle stocks Siemens Aktiengesellschaft (SIEGY), BYD Company (BYDDY), and NXP Semiconductors (NXPI) could be ideal choices for potential gains. Read more.

Electric vehicles are trending more and more amongst consumers, resulting in advanced sales. This favors the operations of electric vehicle suppliers that are powering the EV revolution. Further, technological innovation, growing investments in infrastructure, and favorable government funding and policies open further avenues.

Given the industry鈥檚 tailwinds, it could be wise to invest in fundamentally sound electric vehicle stocks Siemens Aktiengesellschaft (), BYD Company Limited (), and NXP Semiconductors N.V. () for substantial returns.

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