3 Driverless Car Stocks to Buy and Hold for at Least a Decade

Core Insights - The future of driverless vehicles presents significant investment opportunities, with a focus on the growth rate and market size rather than the technology's viability [1][12] - Goldman Sachs estimates a compound annual growth rate of approximately 90% for the robotaxi rideshare market from 2025 to 2030, potentially generating $7 billion in annual revenue with only 8% market penetration in the U.S. [1] Company Summaries - Analog Devices (ADI): A leading manufacturer of analog and mixed-signal chips, well-positioned to benefit from the increasing semiconductor content in vehicles, particularly in advanced safety and infotainment systems. The company holds a market share lead in battery management systems for electric vehicles [3][4] - Albemarle (ALB): One of the largest lithium producers globally, with low-cost production from its Chilean operations. The company is expected to see double-digit annual growth in global lithium demand as electric vehicle adoption increases. Current lithium prices are around $9,500 per metric ton, with long-term estimates averaging $20,000 per metric ton [5][6][8] - QuantumScape (QS): Focused on developing solid-state lithium-metal batteries, which could significantly enhance the electric vehicle industry. The company has demonstrated its technology with a Ducati motorcycle equipped with its battery cells, moving closer to commercial production [9][11] Market Trends - The automotive sector is increasingly reliant on semiconductors for various applications, with electric and driverless vehicles requiring even more advanced chip technology [4] - The demand for lithium is expected to rise sharply as electric vehicles become mainstream, creating a favorable market environment for lithium producers like Albemarle [6][13] - The development of solid-state batteries by QuantumScape could represent a transformative advancement in battery technology, potentially positioning the company as a leader in the EV market if successful [10][13]