Investing $100 in Four EV Stocks vs. Holding Cash – What’s the Potential Upside?

Notable Picks

In our previous post, we explored what $100 investments in four EV stocks could look like. But what happens if you simply hold onto your cash instead? Let’s compare the potential stakes of investing in these stocks versus keeping your money in cash.

Stock Breakdown – How Many Shares Would You Own?

Here’s how a $100 investment translates into shares for each stock based on their current prices:

StockCurrent PriceShares Bought with $100
ChargePoint (CHPT)$0.5894169 shares
Mullen Automotive (MULN)$0.2806356 shares
Canoo (GOEV)$0.37270 shares
ElectraMeccanica (SOLO)$0.06611,512 shares

Now, let’s consider what would happen if these stocks rebound to $20 per share versus just holding cash.

Investment vs. Holding Cash – Future Value Comparison

ScenarioValue of Investment at $20 per ShareCash Value
ChargePoint (CHPT) – 169 shares$3,380$100
Mullen Automotive (MULN) – 356 shares$7,120$100
Canoo (GOEV) – 270 shares$5,400$100
ElectraMeccanica (SOLO) – 1,512 shares$30,240$100

The Takeaway – What’s the Risk?

While investing in undervalued EV stocks could lead to significant returns, it also comes with high risk. These companies face financial and production challenges, and their ability to rebound to $20 per share isn’t guaranteed.

On the other hand, holding cash is safe, but it doesn’t grow over time. Inflation can erode purchasing power, meaning that $100 today may not be worth the same amount in the future.

Final Thoughts – Balancing Risk & Reward

Investing in EV stocks has high potential upside, but it’s important to research each company’s growth prospects before taking the leap. Holding cash keeps funds secure, but doesn’t offer any opportunity for growth.

Are you considering investing in any of these EV stocks or waiting to see how the market develops? Let’s keep tracking these trends!

Connect with NPPSC

Stay updated with the latest insights, strategies, and market reflections:

Leave a Reply