The electric vehicle (EV) market is expected to grow significantly in the next decade and the demand for ancillary products, such as EV batteries, are in strong demand. With that in mind, today I’ll analyze QuantumScape (QS) and Microvast (MVST), to determine which ancillary EV stock is the better buy.Several governments all around the world have pledged to fight climate change and invest in clean energy solutions. In the United States, Joe Biden’s administration has drafted policies that will accelerate the demand for electric vehicles. The Chinese government is also providing subsidies to drive demand higher.
Therefore, companies part of the electric vehicle (EV) space are well poised to benefit from this trend. This includes ancillary infrastructure companies, such as QuantumScape (QS) and Microvast (MVST), interesting potential long-term investments.
However, investors should also note that this is a very nascent industry, and not all companies will succeed. So let’s see whether QuantumScape or Microvast is a better investment today.