Top 5 performing stocks from EV sector in India

India's electric vehicle (EV) sector has become a significant driver of change within the country’s automotive industry. This transformation is being shaped by a combination of strong government backing, a growing awareness among consumers, and the urgent need for environmentally responsible transport solutions.

As of July 2025, the landscape of the EV market reflects encouraging momentum. There is a noticeable shift towards cleaner mobility alternatives, supported by policy incentives, infrastructure development, and advancements in battery technology. These factors are not only helping to accelerate adoption among individuals and businesses but are also drawing considerable interest from investors.

Stocks linked to the electric vehicle ecosystem continue to show promising potential for long-term growth. For investors seeking opportunities aligned with sustainability and future-ready technologies, this sector offers a compelling case. The current trends suggest that India’s journey towards electrified mobility is not just a phase but a structural evolution, making this a space worth watching closely.

Understanding EV Stocks in India

Electric vehicle stocks in India represent companies operating across the entire EV ecosystem, encompassing vehicle manufacturers, battery producers, charging infrastructure developers, and component suppliers. The sector has witnessed unprecedented growth, with India's EV market valued at $8.49 billion in 2024 and projected to reach $117.78 billion by 2032, exhibiting a robust compound annual growth rate (CAGR) of 40.7%.

The EV ecosystem in India spans multiple segments, including two-wheelers, passenger vehicles, commercial vehicles, and supporting infrastructure. Two-wheelers dominate the current landscape, accounting for over 50% of EV sales, followed by three-wheelers at 36% and four-wheelers at 6%. This diversified ecosystem presents multiple investment opportunities across different market segments and risk profiles.

Top 5 Performing Stocks from EV Sector in India Based on Market Capitalisation

Mahindra & Mahindra Limited (M&M)

The company has a market capitalisation of ₹382,900 crores, and leads the EV sector by market value. The company has positioned itself strategically in the electric SUV segment and last-mile mobility solutions. The company's strong financial metrics, including a return on equity of 15.0% and consistent profitability, underscore its market leadership position.

Bharat Electronics Limited (BEL)

Bharat Electronics Limited (BEL) commands a market capitalisation of ₹295,000 crores, and is a significant player in the EV ecosystem through its electronic systems and battery management solutions. The company's expertise in embedded systems and power electronics provides critical components for electric vehicle technology. With a robust order book of ₹71,650 crores as of April 2025 and strong profitability metrics, BEL demonstrates consistent financial performance.

Tata Motors Limited (TaMo)

Tata Motors, valued at ₹254,500 crores, remains a dominant force in India's EV landscape through its Tata Passenger Electric Mobility division. The company produces popular models such as the Nexon EV, Tiago EV, and Punch EV, leading the passenger EV segment with affordable, mass-market offerings. Despite facing challenges in certain segments, Tata Motors' strong EV portfolio and market presence position it well for future growth.

Samvardhana Motherson International Limited (SAMIL)

With a market capitalisation of ₹108,450 crores, Samvardhana Motherson specialises in wiring harnesses, lighting systems, and polymer components essential for EV manufacturing. As original equipment manufacturers ramp up electric vehicle production, Motherson's components become increasingly integral to the electrification process, providing stable revenue streams from the growing EV market.

Hero MotoCorp Limited

Hero MotoCorp, valued at ₹86,413 crores, represents the two-wheeler segment's transition to electric mobility. The company's strategic investments in electric vehicle technology and partnerships position it to capitalise on the rapidly growing electric two-wheeler market, which dominates India's EV sales volume.

Top 5 Performing Stocks from EV Sector in India Based on 5-Year CAGR

KPIT Technologies Limited

The company demonstrates exceptional growth with a 5-year CAGR of 93.55%. It specialises in software solutions for electric and autonomous vehicles, providing critical technology infrastructure for the EV ecosystem. KPIT's collaboration with Mercedes-Benz Research and Development India for Software-Defined Vehicles demonstrates its technological capabilities and market positioning in the premium automotive segment.

JBM Auto Limited

JBM Auto achieved remarkable growth with an 87.31% 5-year CAGR, positioning itself as a market leader in electric buses. The company's comprehensive EV bus manufacturing capabilities and strong order book reflect the growing demand for electric public transportation. JBM's focus on the commercial vehicle segment provides exposure to government procurement programmes and urban electrification initiatives.

Mahindra & Mahindra Limited

Mahindra's 52.58% 5-year CAGR reflects its successful transition into electric mobility whilst maintaining its traditional automotive business. The company's diversified approach across passenger and commercial EVs provides multiple revenue streams and risk mitigation.

UNO Minda Limited

UNO Minda's 50.99% 5-year CAGR demonstrates strong performance in the auto components sector. The company's focus on EV-specific components positions it to benefit from the automotive industry's electrification trend.

Tata Motors Limited

Tata Motors' 46.82% 5-year CAGR reflects its leadership in the passenger EV segment and successful product launches. The company's comprehensive EV portfolio and market presence provide sustainable growth prospects.

Conclusion

India's electric vehicle sector presents compelling investment opportunities across multiple dimensions, from established automotive manufacturers to emerging technology companies. The sector's robust growth trajectory, supported by favourable government policies, technological advancement, and changing consumer preferences, positions it as a key driver of India's economic transformation.

The top performing stocks from the EV sector in India demonstrate diverse strengths across market capitalisation, growth rates, financial stability, and profitability metrics. Mahindra & Mahindra and Tata Motors lead in market value and comprehensive EV strategies, whilst technology companies like KPIT Technologies and component manufacturers like JBM Auto show exceptional growth rates.

Investors seeking exposure to India's EV revolution should consider the diverse risk-return profiles across the sector. Whilst established players offer stability and market leadership, emerging companies provide higher growth potential. The sector's evolution from niche markets to mainstream adoption creates opportunities for both growth and value investors.

As India progresses towards its ambitious target of 30% EV penetration by 2030, the electric vehicle sector stocks are positioned to benefit from this transformational shift. However, investors should conduct thorough due diligence and consider their risk tolerance when investing in this dynamic and evolving sector.

The convergence of government support, technological innovation, and market demand creates a compelling investment thesis for India's EV sector. As the market matures and consolidates, the leading companies identified in this analysis are well-positioned to capture the substantial value creation opportunities ahead.

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