The electric vehicle (EV) sector is generating the same buzz in India as it did in markets like the US. This is driven by a mix of innovation, government initiatives, and growing consumer interest in recent years. Industry leaders like Maruti Suzuki, Mahindra & Mahindra, and Tata Motors are seeing increasing demand for top EV stocks in India as the industry continues to expand.
According to the India Brand Equity Foundation, the Indian EV market should grow from a valuation of $3.2 billion in 2022 to nearly $114 billion by 2029–that works out to be an annual growth of 66 percent. Of course, this growing shift of EVs goes beyond numbers; it’s more about taking a crucial step towards environmental sustainability, tackling pollution, and reducing our overdependence on fossil fuels.
With rapid improvements in EV battery technology, charging stations, and automobile scale-up, investors are naturally looking for investment opportunities in this industry.
In this article, we’ll dive into the stocks and key developments shaping the EV industry that will help you navigate one of India’s rapidly evolving sectors.
Sourced from NSE India, here’s a list of the top electric vehicle stocks based on their market capitalisation as of February 18, 2025.
| Ranking | Company | Market Cap (in ₹ Cr.) |
|---|---|---|
| 1 | Maruti Suzuki India Limited | 4,02,120.89 |
| 2 | Mahindra & Mahindra Limited | 3,47,112.42 |
| 3 | Tata Motors Limited | 2,51,351.60 |
| 4 | Bajaj Auto Limited | 2,35,807.92 |
| 5 | Vedanta Limited | 1,63,532.43 |
| 6 | Hyundai Motor India Limited | 1,47,134.94 |
| 7 | TVS Motor Company Limited | 1,11,659.72 |
| 8 | Exide Industries Limited | 30,604.25 |
| 9 | Ola Electric Mobility Limited | 26,482.62 |
| 10 | Endurance Technologies Limited | 25,600.64 |
| 11 | Himadri Speciality Chemical Limited | 20,398.91 |
| 12 | Amara Raja Energy & Mobility Limited | 17,424.01 |
| 13 | JBM Auto Limited | 13,356.01 |
| 14 | Olectra Greentech Limited | 9,040.37 |
| 15 | Fiem Industries Limited | 3,632.90 |
| 16 | Lumax Industries Limited | 2,149.28 |
Market trends and growth insights of the EV sector
A convergence of tech innovation, regulatory schemes, policies, and funding is enabling the Indian EV market to make large strides in capturing a larger customer base. The key factors pushing this growth are Government initiatives like FAME II and the e-AMRIT portal, among others, and allocated budgets that offer subsidies to make EVs more affordable to everyone.
Despite fierce competition in the EV industry, which has led to all sorts of innovation and a drop in costs, battery prices, charging networks, and supply chain infrastructure still need attention. These need more funding, which interested investors are bringing in en masse. As India moves towards an electric future, global investors are recognising its market potential.
Government initiatives and policies for the EV industry
Understanding the government’s role is essential for those closely monitoring top electric vehicle stocks. Several policies and incentives have been rolled out and are shaping the market and influencing the growth trajectory of electric vehicle companies.
Also Read: Electric cars, now and in the future
FAME scheme
Launched on April 1, 2019, the Faster Adoption and Manufacturing of Electric Vehicles scheme, particularly Phase II (FAME II), is a cornerstone of India’s EV revolution. With a total budget of ₹11,500 crore, FAME II primarily supports all registered public transportation, such as e-buses, e-3 wheelers, and e-4 wheelers, but also extends its benefits to privately owned e-2 wheelers. The Ministry of Heavy Industry released a statement saying that around ₹8,844 crores were spent, and over 16 lakh EVs were incentivised under FAME II as of October 31, 2024.
Union Budget 2025-26
The FY 2025-26 budget announcement relieved the EV industry. With significant tax exemptions on 35 capital goods for battery production, the Finance Minister emphasised fiscal responsibility and continuous growth. The goal is to make EVs more affordable by reducing import duties on battery manufacturing materials and exempting Basic Customs Duty (BCD) on key materials like cobalt powder, lithium-ion battery waste, and other essential minerals. ₹20,000 crores were allocated to the research and development sector to enhance tech innovation in the EV industry.
e-AMRIT portal
The e-AMRIT (Accelerated e-Mobility Revolution for India’s Transportation) portal is the go-to platform for all EV-related queries. This initiative, a collaboration between NITI Aayog and the UK government, promotes the overall adoption of electric mobility in India. It provides comprehensive information on EV policies, incentives, charging infrastructure, charging costs, and financing, all in one place.
Charging infrastructure development
Reliable charging infrastructure is necessary for effective EV adoption, and the government has taken several steps to address this. The Ministry of Power has issued guidelines and standards for public EV charging infrastructures. The Bureau of Energy Efficiency (BEE) is the designated Central Nodal Agency for the national-level charging infrastructure rollout.
PLI scheme
In September 2021, the central government launched the Production Linked Incentive (PLI) scheme with a budget of ₹25,938 crores. Under this scheme, the Ministry of Heavy Industries will promote the domestic manufacturing of Advanced Automotive Technology products to reduce import dependency. This initiative will attract more investment opportunities in the top electric vehicle stocks and create a self-reliant, or ‘Atmanirbhar’, ecosystem for EV companies in India.
Battery swapping policy
NITI Aayog has been actively formulating a policy framework for battery swapping due to its potential to accelerate EV adoption. This reliable alternative to traditional charging is mainly suitable for 2- and 3-wheelers. The EV battery swapping policy is already operational in India per global standards, with new stations emerging across states. However, this policy is undergoing modifications with input from stakeholders, including manufacturers, financial institutions, and industrial experts, to create an effective battery-swapping system.
Also Read: Crucial role of inspection in utilising electric vehicle batteries
PM E-Drive
Launched in October 2024, the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme will remain active until March 31, 2026. With a budget of ₹10,900 crores, this scheme promotes mass mobility through eco-friendly public transport like e-ambulances, e-trucks, and e-buses. It also provides incentives for electric 2-wheelers and 3-wheelers registered for commercial use. The government is introducing e-vouchers so customers can avail themselves of demand incentives under the PM E-Drive scheme and claim reimbursement.
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