Another significant milestone for the Elon Musk-led electric vehicle manufacturer was reached Wednesday when Tesla shares reached a new all-time high. The stock closed at $424.77, slightly above its intraday peak of $424.88 and surpassing its previous record close of $409.97 set on November 4, 2021.
The jump in share price reflects the continuation of an upward trend that began after the US election of President Donald Trump, with Tesla up nearly 70% since its earnings announcement in November.
Elon Musk’s early evaluation of the effects of Trump’s win and expectations for the incoming administration is partly responsible for the positive trend, which has given investors hope for Tesla’s future.
The company’s recent Chinese sales numbers added to the positive outlook. Tesla’s Chinese division reported its highest weekly sales volume in Q4 with 21,900 vehicles sold in the first week of December. Furthermore, November was declared the most successful month of the year with 73,000 units sold.
These promotions have helped the company maintain a solid track record in one of its most strategic markets. Aggressive marketing tactics, like 5-year, zero-interest loans and an approximately $1,400 incentive for new Model Y financing, have supported Tesla’s success in the Chinese market.
Analysts are also optimistic that the federal government will take a more favorable stance toward Tesla’s full self-driving software and robotaxi service under the new administration.
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