July 25, 2024
Electric & Hybrid Cars

Tesla’s stock continues to climb, with a 40% rally in the past month

 

Tesla shares (TSLA) surged by 1.1% in early trading on Friday, continuing their longest winning streak in over a year.

After a 30% increase over the last seven sessions — and almost 40% surge in the past month — the stock is approaching breakeven for 2024 after a significant decline earlier in the year. 

Compared to the S&P 500, which saw a more modest 3.5% rise over the same period, Tesla’s performance stands out.

The recent rally in Tesla’s stock follows a strong performance in quarterly deliveries, exceeding Wall Street estimates.

Additionally, investors have shown enthusiasm for the company’s energy storage business, which has been a rapidly growing segment.

“Tesla started its Independence Day celebration early with a positive 2Q delivery beat, 33k lower inventory and a large storage beat to remind investors it’s not just an auto company,” wrote Morgan Stanley’s Adam Jonas in a recent note. 

Another positive development was the news that Tesla cars were included in China’s provincial government purchase list, indicating a potential increase in demand.

Despite facing challenges in overseas markets and adjusting prices to stimulate sales, Tesla remains optimistic about its future prospects.

During Tesla’s shareholder meeting, CEO Elon Musk acknowledged the current industry challenges but remained confident in the company’s long-term outlook.

Looking ahead, analysts are anticipating Tesla’s quarterly results on July 23 and the unveiling of its robotaxi on Aug. 8.

With a renewed focus on innovation and technology, Tesla aims to position itself as a leader in the AI and autonomous driving space.

The stock has bounced back from its earlier losses this year, with a substantial increase in value.

Ines Ferre is a senior business reporter for Yahoo Finance. Follow her on X at @ines_ferre.

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