All About Tesla’s Musk-Tique -

All About Tesla’s Musk-Tique

Apr 02, 2024Jeremy ParkinsonFinance0

This morning, I made my debut on CNBC’s show Worldwide Exchange with Frank Holland.Here are the notes I prepared.At the start of 2024, the entire EV space already had some issues:

infrastructure-not really setup yet to support EVs easily and or timely

weather-blackouts cut the ability for EVs to charge

competition-with tesla losing market share to Ford, GM, Rivian, and others, Tesla’s higher price became an issue. Plus hybrids have fared alot better-why Toyota stock soared

China also created lots of competition

used EV cars are sitting on lots without demand-Hertz dropped them from their car rentals

Musk-alot of controversies about his attention on Tesla diverted to his other interests

Cybertruck unsuccessful

Since the stock dropped from $265 to the recent lows of $160, Tesla has struggled to regain upward momentum:

Supply chain a smaller issue but still an aspect

Musk-wants more control of Tesla at the same time, Musk has become more political

Tesla just raised prices on the Model Y SUV while other EV companies cut prices

Tesla delivered way fewer vehicles than expected

Price of raw materials are rising

Positives

Tesla is still a dominant software company-self driving, solar, batteries, navigation, factory automation, and selling its software subscriptions.

Brand loyalty

Innovation-perhaps the key to much higher stock prices is when there is more mass adoption of self-driving cars-public not yet ready, but we can say Tesla will be at the forefront when they are.

Performance

TechnicalsLooking at the Daily Chart, the last major swing low was at 152.37 made on April 27, 2023.More recently, Tesla had a reversal bottom low at 160.76.Typically, once a strong reversal bottom is made, that could be a bottom UNLESS that price is violated.We see 180 pivotal and can attract buyers especially with the short float.Over 180, we would think it looks good for an active investment-maybe a move to 215 area.Should 160.76 fail then we have a $145-150 target in mind. That is the 80-month moving average or 6–7-year business cycle support.However, we would want to see evidence of strength at that level since 100-110 is not out of the question.I also appeared with Charles Payne on Making Money with Charles Payne-that clip is below.More By This Author:Yields Up, Dollar Up, Junk Bonds TumbleAn Eggs-cellent First Quarter — What’s In Store For The Rest Of 2024? The Economic Modern Family Ends Q1 Upright