Electric vehicle stocks, just a dream?

The electric vehicle industry is facing increasingly tough challenges. According to the latest media summary, the market value of US electric car companies has evaporated by $1.5 trillion from its peak.

Among them, Fisker is the hardest hit. Earlier reports indicated that this American new energy vehicle manufacturer is preparing to file for bankruptcy due to operational difficulties.

Just last week, Fisker's stock plummeted by 55%, dropping by 98% from its IPO price to just 17 cents. As the stock price has been below $1 for over 30 consecutive trading days, the company also received a delisting notice from the New York Stock Exchange last month.

Apart from Fisker, stocks of Canoo, Lordstown Motors, Arrival, Faraday Future, as well as electric truck transport companies Nikola and Hyliion, have all recently experienced sharp declines. According to Wall Street estimates compiled by FactSet, none of these seven companies are close to profitability.

At their peak, the total market value of these seven stocks was close to $100 billion, but now it only amounts to $10 billion.

Companies like XPeng, Nio, Polestar Automotive, Lotus Technology, Lucid, VinFast Auto, and Rivian Automotive are also not profitable, yet each company's market value still exceeds $1 billion, with a total market value of $58 billion, far below their peak of $650 billion.

Currently, only three electric vehicle manufacturers are able to sustain profitability: Tesla, BYD, and Li Auto. The combined value of these three companies is around $650 billion, but still falls short of the peak of $1.4 trillion.

Overall, the total market value of US electric vehicle manufacturers is around $700 billion (with Tesla accounting for approximately 75% of the total market value), a decrease of $1.5 trillion from its peak value.