5 EV Stocks Riding India's Green Mobility Push

#2 Exide Industries

Next on the list is Exide Industries.

Electric vehicles may be grabbing the headlines, but batteries remain the real backbone of the transition. Every additional EV sold ultimately creates demand for battery technology. This makes battery manufacturers an important part of India's green mobility story.

Exide Industries has spent decades building its leadership in lead-acid batteries. At the same time, it is preparing for the next phase of growth through lithium-ion cell manufacturing, giving it exposure to both the existing automotive market and the emerging EV ecosystem.

The company's Q1 FY27 revenue grew 17.6%, while EBITDA margin improved to 12.4% from 12.2% a year ago. It reported a broad-based growth, with double-digit expansion across automotive original equipment manufacturers, replacement batteries, industrial applications, exports, home inverters and solar.

Margins also improved despite higher raw material costs and a weaker rupee. This was helped by calibrated price increases in tandem with cost optimization initiatives and supply chain efficiencies. Management said the core lead-acid business continues to benefit from healthy demand across automotive, replacement and industrial segments.

Looking ahead, Exide's biggest opportunity lies in its lithium-ion business. The company has already invested Rs 49 bn in its gigafactory and expects commercial revenue from domestically manufactured lithium-ion cells to begin during FY27. Management has approved a further investment of Rs 14 bn during FY27. It expects demand to be driven initially by two-wheelers, three-wheelers, telecom and stationary storage applications before expanding into passenger vehicles. The company also plans to localize 50-60% of its lithium-ion bill of materials over the next two to three years. Future expansion will be funded primarily through internal cash generation.

The stock trades at 42.3x earnings, a significant premium to its five-year median valuation of 30.7x.

To know more about the company, check out its financial factsheet and latest quarterly results.

#3 Amara Raja Energy & Mobility

Third on our list is Amara Raja Energy & Mobility.

Amara Raja Energy & Mobility is trying to build a presence across both worlds. Its established lead-acid battery business continues to generate healthy cash flows, while sizeable investments in lithium-ion cells and battery energy storage systems are positioning it to benefit from India's growing electric mobility ecosystem.

The company delivered a strong operational performance. Q4 FY26 revenue rose 16% year-on-year, supported by robust growth in domestic automotive volumes, particularly from four-wheeler original equipment manufacturers, steady replacement demand and strong sales of inverter batteries. Reported EBITDA margin stood at 10.9%.

Excluding the lithium battery trading business and factoring in efficiencies from its captive recycling operations, the core lead-acid battery business delivered an EBITDA margin of around 12.3%. This was despite higher raw material costs, freight inflation and an adverse product mix. The new energy business also continued to scale up, generating about Rs 2.8 bn in quarterly revenue from battery packs and chargers, while cumulative telecom battery pack supplies crossed 1 GWh.

Looking ahead, management expects the Customer Qualification Plant to begin commercial sample deliveries over the next couple of months, with full-scale operations expected in Q2 FY27. The company's first 2 GWh lithium-ion gigafactory also remains on track to commence production in June 2027. Alongside this, Amara Raja is building a 5 GWh Battery Energy Storage System (BESS) facility, which can eventually be expanded to 10 GWh. The company plans to invest Rs 15-17 bn during FY27, including about Rs 4 bn in the lead-acid business and Rs 11-12 bn towards its new energy projects.

The stock trades at 26.8x earnings, a premium to its five-year median valuation of 17.9x.

To know more about the company, check out its financial factsheet and latest quarterly results.

#4 Olectra Greentech

Fourth on our list is Olectra Greentech.

Electric buses account for only a small share of India's overall bus fleet today. But that is beginning to change as state transport undertakings accelerate fleet electrification and cities increasingly favour cleaner public transport.

Olectra Greentech has emerged as one of the key beneficiaries of this shift. The company is among India's leading electric bus manufacturers and is steadily expanding its product portfolio beyond buses into electric trucks, while continuing to grow its composite insulator business.

The company delivered a record FY26, with revenue growing 28%, while adjusted EBITDA margin remained healthy at 14%. Growth was driven by a 32% increase in electric bus deliveries to 1,280 vehicles, supported by stronger execution, higher production, disciplined cost management and improvements in internal processes. Management said the company was able to maintain profitability despite supply chain disruptions, higher logistics costs and geopolitical challenges by delivering consistently over the last three quarters. Q4 was even stronger, with revenue rising 44% and EBITDA increasing 82%, aided by a favourable product mix, including a higher contribution from coach buses and a sharp improvement in the energy division's performance.

Looking ahead, management is targeting deliveries of around 2,500 electric buses in FY27, although it acknowledged that geopolitical developments and component availability remain key risks. The company also plans to launch its next-generation electric bus platform in Q3 FY27, followed by its own electric truck platform in the last quarter of FY27. Its new manufacturing facility has commenced partial operations with an initial capacity of 5,000 vehicles a year, scalable to 10,000 vehicles, providing sufficient headroom to support future demand and its order book of 10,000+ buses.

The stock trades at 64.7x earnings, below its five-year median valuation of 107x.

To know more about the company, check out its financial factsheet and latest quarterly results.

#5 Tata Motors Passenger Vehicles

Last on our list is Tata Motors Passenger Vehicles.

India's electric vehicle story is no longer just about new-age manufacturers. It is also forcing traditional automobile companies to reinvent themselves. Those that can strengthen their internal combustion engine portfolio while steadily expanding into electric vehicles are likely to be better placed as consumer preferences gradually evolve.

Tata Motors Passenger Vehicles appears to be taking that route. The company has built one of India's largest electric passenger vehicle portfolios without losing focus on its core SUV business. Alongside EVs, it has expanded its presence in CNG vehicles and refreshed key models, allowing it to benefit from demand across multiple powertrains rather than relying on a single segment.

FY26 marked an important year for the company. Vehicle volumes rose 15%, nearly double the domestic passenger vehicle industry's 8% growth, helping Tata Motors Passenger Vehicles emerge as the number two player during the second half of the year. Record demand for models such as Punch and Nexon, together with new launches, pushed quarterly revenue up 50% in Q4, while EBITDA margin improved to 9.4%. Profitability for the full year, however, remained under pressure as higher commodity costs absorbed almost 2% worth of cost savings and the company refrained from taking meaningful price increases. PLI accruals for FY26 also crossed Rs 10 bn.

Looking ahead, the company is targeting around 15% CAGR volume growth through FY31, well ahead of the industry's expected 6-7% growth. It plans to increase market share to around 20% by launching six new nameplates and more than 20 product refreshes, while expanding manufacturing capacity from 900,000 vehicles to 1.3 million. Management also expects CNG and EVs, which already account for more than 40% of its portfolio, to play a larger role in future growth. FY26 capex stood at around Rs 43 bn, with investments continuing towards new products and capacity expansion.

The stock trades at 1.5x earnings, well below its five-year median valuation of 9.3x.

To know more about the company, check out its financial factsheet and latest quarterly results.

Conclusion

Every investment theme eventually attracts hype. Electric vehicles are no different. Some companies will struggle to justify the optimism, while others could quietly build lasting businesses over the next decade.

That is why the focus should remain on the business rather than the narrative. Companies with proven execution, sensible capital allocation and the ability to grow alongside India's expanding EV ecosystem are likely to be better positioned than those relying solely on the theme. The five companies discussed above fit that description.

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