- Deutsche Bank named its eight auto-industry stock picks for 2021 in a research note.
- Six could benefit from the rise of electric and autonomous vehicles.
- They are Tesla, GM, Luminar, Nio, Aptiv, and Visteon.
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Automakers and tech companies have spent billions over the past decade preparing for a future dominated by electric cars and automated-driving technology.
When looking at the auto industry, investors should focus on how well companies are positioned to capitalize on those trends, according to Deutsche Bank analysts Emmanuel Rosner, Edison Yu, and Conor Walters, who shared their 2021 stock picks for the automotive industry in a January 20 research note.
“We expect Autos 2.0 (electrification, autonomy, and connectivity) to remain the most powerful investment trends again this year,” the analysts wrote.
Six of the eight companies included in the analysts’ 2021 picks have the potential to benefit from the shift to electric and increasingly automated vehicles, the analysts said. The analysts also picked two suppliers, Adient and Dana, that can make parts for electric or gas-powered vehicles and could benefit from improved demand for vehicles and additional fiscal stimulus measures.
These are Deutsche Bank’s automotive stock picks for 2021.