TECH - Fund Manager Says He 'Would Avoid' Tesla But Recommends These 'Phenomenal' Auto Stocks: 'Race To Develop EVs Is Going To Be Profitless...' | Benzinga
The electric vehicle (EV) market has been a hotbed of investor activity, with Tesla Inc (NASDAQ:TSLA) being a prime focus. However, a prominent fund manager has advised against investing in EV stocks and suggested alternative options.
What Happened: Freddie Lait, the Chief Investment Officer at Latitude Investment Management, expressed skepticism about the EV sector during a recent interview with CNBC. He pointed out that despite the significant initial investments, most EV companies are yet to turn a profit. Lait predicted that it would take another three to five years to identify the successful players in the EV industry.
"EVs really took off and captured our mindshare 5, 6, 7 years ago, [but] they're not really successful yet. I think it's still going to another three to five years until we know who the winners in electric vehicles are," Lait said.
He also advised against investing in EV automakers, including Tesla, predicting that the race to develop EVs would be unprofitable for many companies. Instead, Lait recommended focusing on established companies like Ferrari (NYSE: