hero section gradient
16 handpicked stocks

Internal Combustion Engine Stocks (ICE Resurgence)

General Motors' multi-billion dollar write-down on its electric vehicle program signals a broader slowdown in the consumer transition away from gasoline-powered cars. This theme identifies an opportunity in companies that stand to benefit from the continued dominance and potential resurgence of the internal combustion engine vehicle market.

Author avatar

Han Tan | Market Analyst

Published on January 9

Your Basket's Financial Footprint

This basket's total market capitalisation is $732.20B and is dominated by a few very large-cap constituents, giving it a broadly stable, large-cap profile.

Key Takeaways for Investors:
  • Large-cap dominance generally implies lower volatility and returns that track broad market trends, reducing idiosyncratic risk.
  • Suited as a core, long-term holding to provide stable exposure, not as a speculative, high-growth allocation.
  • Expect steadier, incremental appreciation over time rather than rapid, short-term gains; growth tends to be moderate.
Total Market Cap
  • GM: $79.41B

  • F: $57.38B

  • TM: $331.90B

  • Other

About This Group of Stocks

1

Our Expert Thinking

GM's recent £5.6 billion writedown on electric vehicles signals a broader shift in the automotive landscape. As the transition to EVs encounters headwinds from reduced subsidies and changing regulations, companies tied to traditional internal combustion engines may experience sustained or even increased demand as automakers extend the life of their petrol-powered models.

2

What You Need to Know

This group spans the entire internal combustion engine value chain, from major automakers producing popular petrol vehicles to component manufacturers and aftermarket suppliers. These established companies are positioned to benefit from a more gradual shift in vehicle technology, potentially serving as a tactical addition during this period of industry recalibration.

3

Why These Stocks

Each company has been handpicked by professional analysts based on their integral role in the ICE ecosystem. From Ford's iconic F-150 trucks to suppliers of essential engine components and aftermarket parts retailers, these stocks represent firms that could see renewed strength as the automotive sector adjusts its electrification timeline.

Why You'll Want to Watch These Stocks

🔄

Industry Recalibration

Major automakers are extending the life of their petrol models as EV adoption slows. This shift could create unexpected opportunities for traditional automotive companies.

💰

Established Revenue Streams

These companies have decades of experience and proven business models built around internal combustion engines, positioning them to capitalise on sustained demand.

Market Surprise Potential

As the market has heavily focused on electric vehicles, traditional automotive stocks may be undervalued, creating potential for significant gains if ICE demand proves resilient.

Get the full story on this Basket. Read our detailed article on its risks and potential.

Read Full Insight

Why Invest with Nemo Money?

Nemo Logo Fade
🆓

Zero Commission

Trade stocks, ETFs, and more with zero commission. Keep more of your returns.

🔒

Trusted & Regulated

Part of Exinity Group 2015, serving over a million customers globally.

💰

6% Interest on Cash

Earn 6% AER on uninvested cash with daily interest payments.

Discover More Opportunities

AI Chipmaker Stocks: Dow 50K Milestone Explained

AI Chipmaker Stocks: Dow 50K Milestone Explained

The Dow Jones Industrial Average surpassed 50,000 for the first time, capping a volatile week with a record high fueled by a tech rebound. This highlights a significant investment opportunity in the semiconductor industry, driven by massive AI infrastructure spending from tech giants.

Netflix Warner Bros Discovery Probe Explained

Netflix Warner Bros Discovery Probe Explained

The U.S. Justice Department has launched an antitrust probe into Netflix's proposed acquisition of Warner Bros. Discovery's media assets. This regulatory challenge could disrupt the deal, creating opportunities for competing streaming platforms and content producers to gain market share.

Iran Oil Sanctions | Energy Defense Portfolio Theme

Iran Oil Sanctions | Energy Defense Portfolio Theme

The United States has intensified its economic pressure on Iran with new sanctions targeting its oil trade, creating significant instability in global energy markets. This theme identifies an investment opportunity in companies positioned to benefit from increased oil price volatility and heightened geopolitical risk, particularly in the energy and defense sectors.

Frequently Asked Questions