AI creates electric vehicle stock portfolio for May 2024
In 2024, the electric vehicle (EV) market is experiencing strong growth and is leading the automotive industry, particularly in the United States and China. To take advantage of this trend, Finbold sought the assistance of Elon Musk’s artificial intelligence (AI) model to create a stock portfolio for EV exposure in May.
It’s worth noting that Global EV sales are predicted to reach approximately 17 million by the end of the year, with a 25% year-over-year growth in the first quarter. Electric cars could potentially capture up to 45% of the market share in China, 25% in Europe, and over 11% in the United States.
China is currently leading the market with 4.5 million electric cars, and EV sales in the United States have increased by 55% in 2022. The size of the electric vehicle market is expected to grow from USD 500.48 billion in 2023 to USD 1,579.10 billion in 2030. In 2022, the Asia-Pacific region dominated the market with a 50.97% share.
In terms of revenue, companies in the EV industry are projected to reach USD 623.3 billion worldwide in 2024, with a steady annual growth rate of 9.82% from 2024 to 2028. The commercial vehicles segment holds the largest share of the market. This growth is supported by technological advancements, the development of charging infrastructure, and government policies.
To create a reliable and up-to-date portfolio of EV stocks for May, Finbold consulted Grok, an AI model developed by xAI and endorsed by Elon Musk, the CEO of Tesla Inc. Grok is accessible to premium subscribers of X Corp and stands out among other models like ChatGPT and Claude due to its real-time data-gathering capabilities. It can learn from user posts on X, making it more current than models that rely on historical data.
Grok’s top pick for the portfolio is Tesla, with a 35% allocation, based on positive expectations for the company in China. Li Auto and Nio each receive a 20% allocation, resulting in a combined dominance of 75% for these three stocks. General Motors and Ford Motor complete the AI-built EV stock portfolio with allocations of 15% and 10%, respectively.
In summary, this portfolio aims to capitalize on the growth of the EV market by including established players like Tesla, as well as emerging companies like Li Auto and Nio. It also takes into account traditional automotive industry leaders, such as General Motors and Ford, as they transition to electric vehicles. The allocation percentages reflect market dynamics, growth potential, and strategic positioning in the EV sector.
Disclaimer: The content on this site should not be considered investment advice. Investing in stocks carries risks, and your capital is at risk.
