Tesla Inc (NASDAQ:TSLA) shares soared to an all-time high Wednesday, marking another significant milestone for Elon Musk’s electric vehicle (EV) manufacturer. Tesla stock closed at $424.77, slightly above the intraday peak of $424.88. The stock’s performance eclipsed the previous record close of $409.97 set on November 4, 2021.
The surge in Tesla’s stock value is a continuation of the upward trend following the election of President-elect Donald Trump, showing a near 70% increase since last month’s election results.
The rally is partly attributed to CEO Elon Musk’s anticipation of Trump’s victory and the expected influence on the new administration, which has fueled investor optimism regarding Tesla’s future. The company’s recent sales figures from China have also contributed to the bullish sentiment.
Tesla’s China division reported its highest weekly sales in the fourth quarter, with 21,900 EVs sold in the first week of December. This follows the company’s announcement that November was its most successful month this year, with 73,000 units sold.
Tesla’s sales boost in China is supported by aggressive marketing strategies, including 0% interest loans for five years and a 10,000 yuan (around $1,400) incentive for new Model Y loans. These promotions have helped Tesla maintain strong momentum in one of its critical markets.
Analysts are also optimistic about the potential for a more favorable federal stance towards Tesla’s full self-driving (FSD) software and Robotaxi service under the new administration.
Back to the stock, Fairlead Strategist’s analysts noted that the all-time high close is likely to facilitate “another breakout pending consecutive weekly closes above final resistance near $415.”
“Upon a confirmed breakout, a long-term measured move would target ~$504 for TSLA, relevant for mid-2025,” strategists led by Katie Stockton noted.
