Why Hybrids Are Outpacing EVs

Electric vehicles were heralded as the car industry’s answer to environmental worries. But whole automakers are still all over the trend, consumers are just not buying as many EVs as everyone would have thought.

In response, companies like Ford (F) and General Motor (GM) have scaled back their investments in EVs. But they’re not giving up on electrification altogether. Instead, automakers have quietly been expanding their hybrid offerings, and sales are surging.

Best of Both Worlds

Hybrids aren’t anything new, but they have been overshadowed by electric vehicles.

But no more. Hybrid sales in the first two months of 2024 grew 50%, easily outpacing the 13% increase for EVs, according to data from Edmunds.com. Hybrid vehicles are also on the lot for far fewer days compared to electric vehicles.

And here’s why: Hybrids address many concerns that may be stopping people from buying EVs. For consumers worried about driving range and charging availability but intend on a more environmentally friendly car, hybrids represent a compromise.

These considerations are shaking things up across the industry. Companies like General Motors, Nissan (NSANY), and Volkswagen (VWAGY) are all looking to expand their lineups in North America, and Ford expects its hybrid sales to quadruple over the next five years.

Looking for more stories like this? Check out On the Money — SoFi’s one-stop-shop for news, trends, and tips!

Check it out

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Advisor
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS24032103