2 Top Canadian EV Stocks to Buy in 2024

Here are two of the best Canadian EV stocks you can buy in 2024 and hold for years to come to expect strong returns on investments.

| More on:
Electric car being charged

Image source: Getty Images

The demand for electric vehicles (EVs) has remained largely stable in the last few years, despite short-term weakness in consumer spending due mainly to high interest rates. As people around the world continue to be more conscious of the negative impact of fossil fuel-powered vehicles on the environment, the demand for EVs is likely to surge further in the next decade.

After going through a downward correction in the last year, some Canadian EV stocks look very attractive in 2024 based on their growth outlook, presenting attractive buying opportunities for investors. For beginners in the stock market who want to invest for the long term, these stocks offer a chance to benefit from the upcoming EV revolution. In this article, I’ll highlight two of the best Canadian EV-linked stocks you can buy in 2024 and hold for the long term.

Magna stock

Magna International (TSX:MG) is an Aurora-headquartered firm with a market cap of $21.7 billion, as its stock trades at $75.98 per share after witnessing a 7.3% pullback in the last year. At the current market price, MG stock offers a decent annualized dividend yield of 3.3% and distributes its dividend payouts every quarter.

It’s a well-known global automotive supplier that focuses on contract manufacturing of vehicle parts for several large automakers. In recent years, Magna’s focus on developing electric vehicle platforms and autonomous vehicle solutions has increased.

Even as macroeconomic challenges continued to affect several automotive companies across the globe last year, Magna’s financials showcased notable improvement on a YoY (year-over-year) basis. In the first three quarters of 2023, the company’s total revenue rose 14.4% YoY to US$32.3 billion with the help of an upward trend in global light vehicle production. Magna’s continued focus on operational efficiencies and cost savings also help the company achieve a solid 28% YoY increase in its adjusted quarterly earnings to US$4.07 per share.

Moreover, Magna’s high-voltage electrified products, which include a range of innovative solutions for EVs, position it as a strong long-term investment option in the EV sector in 2024.

BlackBerry stock

In recent years, the Waterloo-based tech firm BlackBerry (TSX:BB) has also raised its bets on the upcoming EV and autonomous vehicle revolution, making it another top Canadian EV-related stock to consider in 2024. BB stock currently has a market cap of $2.7 billion as it trades at $4.60 per share after declining by more than 6% in the last year.

While BlackBerry currently generates most of its revenue from its enterprise cybersecurity solutions segment, its growing offering of technological solutions for futuristic mobility, including EVs, can help its IoT (Internet of Things) segment financially grow at an exponential rate in the years to come.

The company’s QNX operating system is already deployed in well over 200 million vehicles across the globe. With innovative technological solutions, such as the BlackBerry IVY intelligent vehicle data platform, the company is poised to significantly expand its automotive customer base in the years to come. Given these positive factors, buying BlackBerry stock during a dip in 2024 and holding it for the long term could be a great idea.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

The Motley Fool recommends Magna International. The Motley Fool has a disclosure policy. Fool contributor Jitendra Parashar has no position in any of the stocks mentioned.

More on Stocks for Beginners

Senior Man Sitting On Sofa At Home With Pet Labrador Dog
Dividend Stocks

Buy 32 Shares in This Glorious Dividend Stock and Create $1,074.88 in Passive Income

This dividend stock is also a growth stock you're going to want on your side over the next year and…

Read more »

Mature financial advisor showing report to young couple for their investment
Energy Stocks

New Study Shows 36% of Couples Hide Spending From Partner, And It’s a Pressure Point

Having the hard talk? It can literally pay to do so. Here's how to stop holding out on your partner…

Read more »

Stocks for Beginners

Value Investors: Are You Buying and Holding Forever? Think Again

Value stocks are great, but if you don't have a goal in mind that stock can quickly turn from value…

Read more »

young woman celebrating a victory while working with mobile phone in the office
Stocks for Beginners

2 Stocks Under $50 New Investors Can Buy Confidently

Are you new investor looking to start small before buying stocks trading in hundreds and thousands? You could consider these…

Read more »

Male IT Specialist Holds Laptop and Discusses Work with Female Server Technician. They're Standing in Data Center, Rack Server Cabinet with Cloud Server Icon and Visualization
Tech Stocks

3 Undervalued Software Stocks Set to Jump in 2024

These software stocks are overdue for a recovery, and that should certainly happen as they move back to profit in…

Read more »

Two hands holding champagne glasses toasting each other with Paris in the background
Dividend Stocks

Planning a Wedding? Here’s How to Actually Make Money on the Big Day

Inflation, interest rates, it all adds up when planning a wedding. So how can you ask for cash, keep costs…

Read more »

Caution, careful
Stocks for Beginners

2 Threats to the Market Rally to Keep a Close Eye On

There are two threats that could possibly trigger another selloff, so be sure to watch for them in the near…

Read more »

Hand arranging wood block stacking as step stair with arrow up.
Stocks for Beginners

This Phenomenal Canadian Growth Stock Jumped 9% and Still Has More Upside

This Canadian stock surged after beating earning estimates, but there is even more room to run for this stock climbing…

Read more »