TSLA stock discussion: When will Tesla have its Nvidia moment?
After watching semiconductor giant, Nvidia (NVDA) take off in 2023-2024, it left us wondering, when will Tesla have another breakout run? It seems like the entire AI space continues to benefit in the stock market, while Tesla is on the outside looking in. So let’s have ourselves a TSLA stock discussion.
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Why is TSLA not going up?
Surely, there’s a better way to phrase this question. But, in the most simplistic terms, TSLA seems stuck in a rut.
After nearly recapturing the $300 level in 2023 — Tesla has traded down and sideways for what feels like an eternity.
Sure, there are many positive catlyst’s for Tesla. Let’s outline some below.
The Model Y received the highest safety rating of any vehicle.
The Cybertruck is a celebrity ‘must have.’
RBC Capital even recently declared that Tesla’s MegaPack business could be worth more than their Auto business.
And yet, the stock trades sideways. And when it does go up, it feels like any selling pressure on pops, see the stock go trailing back down.
As writers, who follow Tesla religiously, it feels like this is the calm before the storm.
Crypto tailwinds
And in this case, the storm is an ultimate breakout. Let’s take a gander over at the crypto markets.
Every coin from BTC to ETH, to Alts, are starting to fly. BTC has almost broken through ATH’s and yet barely anyone is talking about it (compared to 2021’s bull run).
What a better way to forecast Bitcoin interest than Google Trends. Which in the graph above, shows people aren’t searching it as highly as the BTC mania in 2021.
And yet — crypto is returning big profits. Retirement money is being made.
And we’re all stuck trading Tesla. Sarcasm aside, Tesla stock had a monumental run in each 2020 and 2021. This was correlated to the time where retail investors were flooding the markets with stimulus money.
It was also the time everyone was at home trading as a hobby. With more people coming back into crypto, it’s fair to wonder if the same people will pour back into Tesla.
TSLA stock discussion
Now that we’ve outlined some catalysts for TSLA and some correlation to the crypto markets — let’s discuss how high (or low) the stock can go in 2024.
We’ll outline our PT momentarily, feel free to do the same in the comment section below.
We’re hopeful for an Administration change in the US elections in 2024. One that would be beneficial for investors and the stock market alike. A change that would breathe optimism back into the markets.
In our estimates, Tesla stock will trade at $290 by the end of 2024. We’re still ways away from ‘TSLA max pain‘ but there are far too many positive catalysts for the stock to stay surpressed.
From 2025 — with a new administration (fingers crossed) — we expect a monster year for the Magnificent 7, with Tesla leading the pack.
This is the year we forecast TSLA to have its NVDA-style breakout — exceeding $400 per share.
As always when it comes to investing/trading — do your own research. Also, it pays to be patient. Don’t let the MM’s make you second guess investing in one of the top companies to ever exist.
