Legendary investor Warren Buffett is no stranger to electric vehicle (EV) stocks. He has already made more than 2,000% profits by investing in the Chinese electric vehicle manufacturer. BYD. He owned this business for over 17 years before selling it, demonstrating how crucial it is to believe in these businesses for the long term.
Next year is expected to be one of the most exciting years in electric vehicle history. And there are several ways to make your wallet win. If you’re looking for high-growth investments that can pay off big in 2026, take your pick from the following three companies.
When it comes to electric vehicle stocks, Tesla(NASDAQ:TSLA) remains king. The company is one of the world’s largest producers of electric vehicles, with unprecedented access to capital to invest in new opportunities. The biggest growth opportunity in the company’s history may come not from making cars, but from using them to operate its own robotaxi service.
Earlier this summer, Tesla launched its robotaxi service in Austin, Texas. The deployment was not perfect. But last quarter, Elon Musk predicted that the service would expand to 8 to 10 new cities by the end of 2025. He also reiterated his desire to remove safety monitors from the equation, allowing the company to expand to “millions” of self-driving Tesla taxis by the end of 2026.
I’m skeptical that Tesla will be able to achieve Musk’s optimistic goals. I don’t expect the service to expand to 10 new cities this year, nor do I expect millions of Tesla cybertaxis to hit the streets next year.
But some Wall Street analysts are buying what Musk is selling. Dan Ives, for example, believes the robotaxi opportunity could add $1 trillion to Tesla’s market cap by the end of 2026.
If the company can achieve its goals, investors will no doubt have plenty of growth ahead. But if you’re looking for a better balance of risk and reward, check out the next EV stock.
Image source: The Motley Fool.
On paper, Rivian Automobile (NASDAQ:RIVN) is a competitor to Tesla. Both companies produce electric vehicles which are mainly sold in the American market. But there are also big differences.
Tesla has a market capitalization of $1.4 trillion. Rivian, meanwhile, is valued at just $15 billion. Tesla shares are also much more expensive. Shares trade at about 16 times sales, compared to a price-to-sales ratio of just 3 for Rivian.
In a nutshell, it’s tiny compared to Tesla, with a significantly lower valuation. If you’re looking for a good deal with huge growth potential, this could fit the bill.
It’s important to note that Rivian doesn’t have the robotaxi advantage that Tesla has. But it has an ace up its sleeve for 2026. Next quarter, the company is expected to begin production of three new affordable models: the R2, R3 and R3X.
The R2 will begin production first, followed by the other two models. Importantly, all three vehicles will be priced under $50,000 – an important threshold given that nearly 70% of Americans want their next vehicle to cost less than $50,000.
Today, more than 90% of Tesla’s vehicle revenue comes from its two affordable models. With three affordable models in its lineup next year, Rivian could see considerable sales growth, similar to what Tesla achieved earlier in its history.
Tesla stock is expensive, but the growth potential is clear. Rivian stock is cheap, but its growth potential is also clear. Lucide Group(NASDAQ:LCID) is somewhere in between.
Lucid shares currently trade at around 6 times sales, or in the middle of the valuation of Rivian and Tesla. The company also plans to launch new affordable models, but that probably won’t happen until late 2026 at the earliest. More likely, these models will arrive in 2027 or 2028.
Lucid is also involved in the robo-taxi market, but not as directly as Tesla. The company will deliver 20,000 vehicles to Uber Technologies as part of the robotaxi division of this company. But after the initial sale, Lucid will no longer benefit from residual revenue from the transaction.
All of this puts Lucid in a strange position. The shares are more expensive than Rivian’s, but the company has no near-term plans to launch affordable models. And while the shares are cheaper than Tesla’s, the company’s exposure to robo-taxis is far less lucrative. Lucid could still have potential with a market cap of just $5 billion. But I’m sticking to Tesla or Rivian in 2026.
Have you ever felt like you missed the boat by buying the best performing stocks? Then you will want to hear this.
On rare occasions, our team of expert analysts issues a “Doubled” actions recommendation for businesses that they believe are on the verge of collapse. If you’re worried that you’ve already missed your chance to invest, now is the best time to buy before it’s too late. And the numbers speak for themselves:
Nvidia:If you invested $1,000 when we doubled down in 2009,you would have $487,982!*
Apple: If you invested $1,000 when we doubled down in 2008, you would have $51,024!*
Netflix: If you invested $1,000 when we doubled down in 2004, you would have $595,194!*
Right now we’re issuing “Double Down” alerts for three incredible companiesavailable when you registerEquity Advisorand there may not be another chance like this anytime soon.
See the 3 actions »
*Stock Advisor returns as of November 3, 2025
Ryan Vanzo has no position in any of the stocks mentioned. The Motley Fool holds positions and recommends Tesla and Uber Technologies. The Motley Fool recommends BYD. The Motley Fool has a disclosure policy.
Prediction: EV Stocks Will Be Your Best Investment in 2026. Here’s Why. was originally published by The Motley Fool
