As Goldman raises its electric vehicle forecast, analysts pick their top stocks to cash in

Published Tue, Apr 12 20229:19 PM EDT

Lucy Handley @in/lucy-handley-b2b0a61a/@lucyhandley

Goldman Sachs , Bank of America and more have picked their favorite electric vehicle-related stocks, including automakers, battery manufacturers and charging companies. Goldman raised its electric and hybrid vehicle forecasts last week, saying that it expects EVs to account for 46% of cars on U.S. roads in 2040, up from earlier forecasts of 32%. It also expects EVs to make up 55% of U.S. sales by 2030. One stock that's exposed to the sector that Goldman particularly likes is Suzuki Motor . The Japanese company made Goldman's list of stocks with strong capital returns that it said also do well on environmental, social and governance (ESG) factors. In an April 7 note, analysts at the bank noted the company's deal with the Indian state of Gujurat to invest $1.2 billion in the production of EVs and batteries, as well as its plan to launch mini EVs in Japan in 2025. Goldman is buy-rated on the stock, which is also on its conviction list. Bank of America's EV picks Analysts at Bank of America are positive on a raft of EV stocks, detailed in an April 5 research note titled "Transforming World – Q2 2022 Thematic Primer Picks & Stocklist." All of its "Primer Picks" are buy-rated. Under a climate change theme, BofA's picks include California-based automaker Lucid Group , commercial vehicle-maker Proterra , General Motors and Toyota . The bank also chose auto suppliers BorgWarner and Magna International under an energy efficiency theme. Cowen chooses charging companies Cowen's analysts highlighted EV charging companies in a sector they say is underappreciated by the market, given the Biden Administration's $7.5 billion infrastructure spending plans in the sector. The bank rates ChargePoint outperform, with analysts liking its partnerships with real estate developers and hardware that is easily configured, and also rated EVgo outperform for its state and local grant wins, in an April 5 note. "BIL [Bipartisan Infrastructure Law] spending, the first dedicated federal EV charging investment, is set to bring needed industry standardization, reduce EV range anxiety, and represents a clear step-up in sector investment," Cowen's analysts stated. Societe Generale's picks Societe Generale likes Nhoa , a French battery and EV charging company, giving it a buy rating. "Nhoa's mission is to unlock the energy transition by giving people the energy to live sustainably via pure electric technology (in Storage and e-Mobility). Consequently, like other 'pure renewable' players, Nhoa scores as a 'best-in-universe' stock from an Environmental standpoint," the bank's analysts said in an April 7 research note. The bank also described auto supplier Valeo as "one of the leaders in the e-mobility space among European auto suppliers." It is hold-rated on the stock. - CNBC's Pippa Stevens contributed to this report.

A driver uses a fast-charging station for electric in the cell phone lot at John F. Kennedy (JFK) airport on April 02, 2021 in New York City.

Spencer Platt | Getty Images

Goldman Sachs, Bank of America and more have picked their favorite electric vehicle-related stocks, including automakers, battery manufacturers and charging companies.