La0.63R0.2Mg0.17Ni3.1Co0.3Al0.1 (R = La, Ce, Pr, Nd, Sm, Gd, Tb, Dy, Ho, Er, Tm, Yb, Y, Sc) alloys were prepared by induction melting followed by annealing treatment at 1173 K for 8 h. The alloys consisted mainly of a La2Ni7 phase and LaNi5 phases as explored by XRD and EPMA. Substitution of rare earth metals for La was favorable for the formation of a Ce2Ni7-type phase. Electrochemical experiments showed that all alloy electrodes exhibited good activation characteristics, that the discharge capacity improved with the substitution of Ce–Sc for La, and the La0.63Y0.2Mg0.17Ni3.1Co0.3Al0.1 alloy possessed the maximum discharge capacity (400.6 mA h g−1). At the same time, the cyclic stability of alloy electrodes was also improved by substitution of Ce–Sc at La sites, and the capacity retention rate at the 100th cycle was increased by 23.6% for the Gd-substituted alloy. The Yb-substituted alloy possessed excellent high rate dischargeability (HRD900 = 92.84%). All experiments implied that the alloy electrode with R = Gd possessed excellent overall electrochemical properties.