Tesla stock price on the rise
In the past 5 months since March 2020, the stock market indicator has gained more than 15%. Despite Covid-19 and the growing uncertainty of an emerging economic bubble, Tesla has proven to withstand all economic downturns and set a record high price target on the electric car maker to $1,900 per share.
This is incredible considering that exactly a year ago, Tesla’s shares sold for 223.83 on the 19th of August 2019. The growth had grown roughly eightfold in a year and continues to rise.
Should you invest and how?
According to a report by CNBC, Tesla is on a rapid rise as the company is taking over the electric car industry. But the rapid rise of the company is proof of an emerging bubble ready to burst. With new giga-factories, Tesla investors are looking into the future, investing under the assumption that the next 6 to 12 months will bear hefty returns.
Tesla stock predictions
COVID-19 has not deterred Elon Musk’s rising ambition of mass-producing electric vehicles on a global scale. In 2018, 245,240 vehicles were sold, 367,500 cars in 2019, and around 500,000 more is expected to leave the production lines.
Where is the bubble here? Tesla skeptics dispute whether investors are seeing an overvalued stock that will bring the whole party crashing down. The uncertainty of the global pandemic that hit the US harder than any other country, will reach a breaking point.
For now, Tesla seems like the best bet for anyone to pick up their phones and go to Robinhood or Etoro to purchase as much as they’re willing to sacrifice.
The true question remains for 2021. When do we call quits and sell our Tesla stocks?