2020 was not only the year of COVID, but many also believe it was the year of the electric vehicle. EV stocks went through the roof as investors considered a world without gas powered vehicles. However, that momentum has not continued into 2021, where EV stocks have shown a lot of volatility. Arrival Limited (ARVL) and Canoo (GOEV) are two such stocks that are down 15% over the past week. But should investors avoid them? Read more to find out.Electric vehicle stocks have been quite volatile since the start of the pandemic. Money initially shifted to specific green, forward-thinking industries such as EVs. However, the bull run didn't last forever.
If you pay close attention to the EV industry, you are aware that it has the potential to be somewhat of a rollercoaster ride. It is not uncommon for stocks in this segment to fluctuate 5% to 10% weekly.
Arrival Limited (ARVL) and Canoo (GOEV) are two such volatile EV stocks. Each of these EV-makers has suffered quite a tumultuous slide in the past week. Let's take a look at whether these two are oversold or if the declines are justified.