Why Electric Vehicle (EV) Stocks Skidded Into Losses on Wednesday

Not so long ago, electric vehicle (EV) stocks were the assets that could do no wrong. Despite the very many hiccups and challenges associated with the industry, EVs were the future of human mobility. In recent months, though, there's been growing skepticism about this. The novelty of the not-so-new-anymore technology has worn off, and negative news from some top manufacturers has turned off both consumers and stock investors.

So, it doesn't take much these days to dampen sentiment about EV stocks. Moderately discouraging quarterly results from China's only two profitable EV companies on Wednesday spread discontentment throughout the sector. American EV stocks took some hits as a result, with vehicle makers Rivian (NASDAQ: RIVN) and Nikola (NASDAQ: NKLA) declining by nearly 5% and almost 10% in price, respectively, while next-generation battery developer QuantumScape (NYSE: QS) closed the day 5.5% lower.

Dominating the EV news headlines on Wednesday were the latest sets of fundamentals from Li Auto (NASDAQ: LI) and (OTC: BYDD.F). Neither company's presentation was impressive.

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Source Fool.com