Summary
- Tesla stock (NASDAQ: TSLA) reached a 52-week high, hitting $299.75
- Investors believe Trump’s presidency will benefit Tesla, despite potential challenges
- Regulatory hurdles are expected to decrease for Musk’s companies under Trump
- Analysts predict a $40-50 per share increase for Tesla due to Trump’s presidency
- Shares are up 2.75 percent, trading at $296.65, highest since September 2022
Article
Tesla stock (NASDAQ: TSLA) reached a 52-week high after flirting with the $300 price level and reaching a high of $299.75. This surge in shares is believed to be influenced by the election of Donald Trump as President of the United States, as he is seen as a big ally of Tesla’s CEO Elon Musk, who campaigned alongside him and helped propel Trump to victory. Investors are expressing their confidence in the belief that Trump’s presidency will benefit Tesla as a company, despite concerns over the potential end of the electric vehicle tax credit and a shift away from an EV mandate.
With Trump set to take over the Oval Office, regulatory hurdles for Musk and his companies are expected to become less of an issue. Analysts are also weighing in on the situation, highlighting the positive implications of Musk’s strong relationship with President-Elect Trump. Dan Ives of Wedbush stated that this partnership is a dream scenario for Tesla bulls and could potentially add $40-$50 per share to TSLA stock right away. This could potentially push Tesla’s market cap to $1 trillion or $1.5 trillion, due to the positive impact of pulling the EV tax credit in terms of scale and scope.
The positive momentum in Tesla stock that was seen on Wednesday continued into Thursday, with shares trading close to the $300 range. This is the first time Tesla stock has reached such levels since September 2022, indicating a significant upsurge in investor confidence. As of the latest update, shares were up 2.75 percent and were trading at $296.65. The sustained increase in Tesla stock price is reflective of the optimism surrounding the company’s future under a Trump presidency, despite potential challenges related to EV incentives and mandates.
Investors looking to accessorize their Tesla vehicles can explore the Teslarati Marketplace for a range of options. For further inquiries or feedback, readers are encouraged to reach out to the author via email at joey@teslarati.com or on Twitter @KlenderJoey. Additionally, news tips can be sent to tips@teslarati.com for consideration. The surge in Tesla stock price to a 52-week high and its flirtation with the $300 price level can be attributed to the election of Trump as US President and his perceived support for Tesla and Elon Musk. Analysts believe that the close relationship between Musk and Trump could lead to significant benefits for Tesla, including a potential increase in stock value by $40-$50 per share, pushing the company’s market cap to unprecedented levels.
The enthusiasm surrounding Tesla in the stock market is driven by the belief that a Trump presidency will result in regulatory relief for Musk’s companies, as well as potentially favorable policies that could boost Tesla’s market position. Despite concerns about the impact of Trump policies on EV tax credits and mandates, investors remain bullish on Tesla’s future prospects under the new administration. The continued surge in Tesla stock price, reaching levels not seen since 2022, indicates strong investor confidence and optimism about the company’s growth trajectory. The resilience of Tesla stock in the face of changing political landscapes underscores the market’s positive outlook on the company’s prospects moving forward.
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