FSR - Tesla and pure-play EV stocks seen having infrastructure bill advantage

Morgan Stanley believe that it is possible that the proposed $174B electric vehicle infrastructure package will exacerbate Tesla's (TSLA) disproportionate advantage over the rest of the legacy players. Analyst Adam Jonas thinks the EV infrastructure bill including purchase incentives for EVs, development of charging and manufacturing infrastructure, grid enhancement, etc. could disproportionately benefit Tesla and pure BEV startups near term. Jonas notes that "de-adoption" of gas-powered vehicles and more aggressive policies to stimulate EV sales will make it hard for the legacy ICE players to keep up with Tesla, Fisker (FSR) and Lucid Motors (CCIV). Tesla also has the advantage of having a more vertically integrated battery supply strategy in comparison to most other OEMs. Shares of General Motors (GM) and Ford (F) have actually outperformed Tesla and Fisker over the last six months. Electric vehicle stocks have been in rally mode in April on Green Tidal Wave hopes.

For further details see:

Tesla and pure-play EV stocks seen having infrastructure bill advantage