Joe Biden, a Blue Senate, and a Green New Deal: All Good Signs for EVs

The arrival of President-elect Joe Biden and his administration to the White House will bring good news to the electric vehicle sector and its manufacturers. 

President-elect Joe Biden is expected to implement new EV tax credits as well as other incentives to promote the adoption of electric mobility and away from ICE automobiles.

Earlier this week Top Wall Street analyst Daniel Ives WedBush, said he believes we are just seeing the tip of the iceberg when Tesla shares were trading at over $840 on Wednesday. Ives is now speaking out again regarding the California-based EV giant as well as other automakers and what a “Blue Senate” means for them: “A Blue Senate is very bullish and a potential ‘game changer’ for Tesla and the overall EV sector in the US, with a more green-driven agenda now certainly in the cards over the next few years.” 

Ives also raised his Tesla price target to $950 per share, up from $715 saying the stock has the potential to reach a high of $1,250 in a bull-case scenario.

President-elect Joe Biden said New York Rep. Alexandria Ocasio-Cortez’s Green New Deal is a “framework” for his environmental plans. The plan calls for the U.S. to reach net-zero carbon emissions by 2050

Tesla isn’t the only automaker who will reap the benefits of a blue Senate and a Green New Deal. Countless other EV manufacturers will see a shift in the industry as Biden focuses on reducing America’s carbon footprint.

Earlier this week General Motors CEO, Mary Barra reiterated the automaker’s goal towards an electric future at the annual digital Consumer Electronics Show. A plan that includes 30 battery-powered models in the next 4 years. The company also launched a new business line called BrightDrop to develop electric commercial delivery vehicles.

However, as we learned from 2020, the key is to not bet against Tesla. Ives has been noted saying that he expects Tesla to exceed 1 million deliveries in 2022 and have a market valuation over $1.5 trillion in the same amount of time: “in a couple of years this could be a company that could start to approach 1.5 trillion – 2 trillion market valuation.” Of course, this all depends on the demand for EVs and its continued growth.

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