Global electric vehicle sales are expected to grow 11% annually through 2034, according to Precedence Research. Tesla Inc. (ticker: TSLA) is still the U.S. EV market leader, but for years it operated mostly free of competition.
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EV startups and legacy automakers are bringing new EV models to the market that have begun to challenge Tesla’s dominance. In fact, Tesla’s share of U.S. EV sales dropped below 50% for the first time in 2024, down from a peak of 82.5% in 2019. With competition heating up, investors may want to diversify. Here are seven of the best EV stocks to buy other than Tesla, according to Bank of America:
| Stock | Upside Potential From Aug. 4 Close |
| Li Auto Inc. (LI) | 24.8% |
| XPeng Inc. (XPEV) | 53.7% |
| Toyota Motor Corp. (TM) | 28.2% |
| General Motors Co. (GM) | 17.4% |
| Ford Motor Co. (F) | 27.8% |
| Blue Bird Corp. (BLBD) | 17.8% |
| Ferrari NV (RACE) | 31.1% |
Li Auto Inc. (LI)
Li Auto is a leading Chinese EV maker. The company’s first model, the Li One, is a large SUV. Li reported 111,074 vehicle deliveries in the second quarter, up from 108,581 a year earlier. Li also reported its cumulative delivery count is up to 1,337,810 as of June 2025. Analyst Ming Hsun Lee is bullish on Li’s rising EV penetration in China and its share gains in the luxury auto market. Bank of America has a “buy” rating and $32.10 price target for LI stock, which closed at $25.72 on Aug. 4.
XPeng Inc. (XPEV)
XPeng is another Chinese EV company targeting the mid-level and high-end segments of the market. XPeng launched its G3 SUV in 2018 and its P7 sports sedan in 2020. XPeng reported 34,611 vehicle deliveries in June, up 224% year over year. XPeng delivered 197,189 vehicles in the first half of 2025, more than it delivered in all of 2024. Lee says XPeng has a strong vehicle development pipeline and its free-cash-flow profile is improving. In addition, he says XPeng’s advanced self-driving technology is impressive. Bank of America has a “buy” rating and $29 price target for XPEV stock, which closed at $18.86 on Aug. 4.
Toyota Motor Corp. (TM)
Japan’s Toyota Motor is one of the world’s largest automakers. The company reportedly plans to roll out 15 EV models and produce roughly 1 million EVs annually by 2027, seven times its 2024 EV production. Analyst Shiro Sakamaki says he has high confidence in Toyota’s near-term earnings outlook, despite tariff concerns. In addition to its EV production goals, Sakamaki says Toyota can make significant progress on decarbonization simply via technological innovation that can improve the efficiency of its internal combustion engine models. Bank of America has a “buy” rating and $233.80 price target for TM stock, which closed at $182.31 on Aug. 4.
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General Motors Co. (GM)
General Motors CEO Mary Barra said in 2021 that the company would invest $35 billion in EV development by 2025 and offer exclusively EVs by 2035, although the company has since said customer demand will dictate its future EV plans. GM sold 112,897 EVs in the U.S. in 2024, making it the No. 2 U.S. EV maker by units sold. GM currently has 13 EV models on the market. Analyst Federico Merendi says GM is the leading U.S. automaker, and it has a highly profitable product portfolio. Bank of America has a “buy” rating and $62 price target for GM stock, which closed at $52.77 on Aug. 4.
Ford Motor Co. (F)
Legacy automaker Ford previously announced plans to spend $50 billion on EV models and produce 2 million EVs annually by 2026. In October 2023, however, Ford postponed $12 billion in EV investments due to softening demand. Still, the Ford Mustang Mach-E was the best-selling non-Tesla EV model in 2024, at 51,745 units. The Ford F-150 Lightning was also the best-selling EV pickup other than Tesla’s Cybertruck, with 33,510 units sold. Merendi says Ford’s profitable internal combustion business will fund its ongoing EV technology investments. Bank of America has a “buy” rating and $14 price target for F stock, which closed at $10.95 on Aug. 4.
Blue Bird Corp. (BLBD)
Blue Bird is a leading designer and manufacturer of school buses. Incredibly, the company brought its first electric school bus to market back in 1994. Analyst Sherif El-Sabbahy says Blue Bird has restructured its business to prioritize profitability, and the company is positioned to reap the rewards of elevated replacement demand in the coming years. El-Sabbahy says Blue Bird primarily produces and sources from the U.S., but uncertainty surrounding tariffs could weigh on investor sentiment. Fortunately, Blue Bird has recently increased its share buybacks. Bank of America has a “buy” rating and $52 price target for BLBD stock, which closed at $44.13 on Aug. 4.
Ferrari NV (RACE)
Ferrari is a high-performance luxury carmaker with a long history in the Formula 1 racing world. Ferrari also has a world-class research and development team. Ferrari has sold hybrid vehicles since 2019, and it plans to begin deliveries of its first fully EV model in October 2026. However, Ferrari recently delayed plans for the launch of its second EV model until 2028. Analyst John Murphy says Ferrari has a strong order book through 2026, and he is bullish on the new F80 hybrid hypercar. Bank of America has a “buy” rating and $575 price target for RACE stock, which closed at $438.32 on Aug. 4.
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Tesla Competitors: 7 Rival EV Stocks to Buy originally appeared on usnews.com
Update 08/05/25: This story was previously published at an earlier date and has been updated with new information.
