Tesla posts highest daily gain since May 9, 2013

Tesla ended the fourth trading session of the week up by 22% to settle at $260.48 per share, such huge gains reversed Tesla’s 2024 losses and raised its market value by around $150 billion.

According to Dow Jones Market Data, it was the largest one-day percentage increase since May 9, 2013, when Tesla stock rose 24.4% and the best one-day market value increase for the shares ever. Tesla’s earnings per share climbed from 66 cents in the third quarter of 2023 to 72 cents.

The electric car maker also posted upsides in operating and automotive gross profit margins. Its other subsidiaries like energy storage, established records for profit margins.

According to the company, Tesla anticipates a 20% to 30% increase in vehicle deliveries in the upcoming year, “in contrast to Street numbers in the 10%-12% heading into the print.

There wasn’t much for Wall Street to gripe about. Analysts gave the margin performance and management’s cost-controlling efforts high marks. While the average target price for the company among analysts tracked by FactSet increased somewhat from $216 per share to $220, there was one upgrade from Hold to Buy.

Investors were encouraged by Tesla’s growth projection and the third-quarter results. Compared to 2023, the business still anticipates a rise in car deliveries, indicating a record of over 515,000 deliveries in the fourth quarter, up roughly 6% from the previous year. Musk claimed that a 20% to 30% growth was feasible for 2025, although Wall Street projected 10%.

Analysts from Bank of America identified several possible things to watch in 2025. Securities by BofA. “Tesla Motors 3Q beat as Next Gen Core-to-Future takes shape – quick take.”

Tesla’s management forecasted offering paid public transportation next year, and the business has also stated that it intends to introduce a public ride-hailing service in Texas and California.

According to the bank, Tesla’s management anticipates being able to offer paid public transportation next year, and the business has also stated that it intends to introduce a public ride-hailing service in Texas and California. “The bottom line was that Tesla is charging up for the next wave of growth.”  the bank said.