Shares of Tesla hit an all-time high on Tuesday, with the electric automaker’s stock on track to deliver its best quarterly performance in six years.
The Elon Musk-led Tesla saw its stock rise more than 3 percent in intraday trading, hitting a new record of $394.83 on reports that it is considering cutting the prices of its China-built Model 3 sedans by 20 percent or more in 2020.
The company’s previous high-water mark was $383.45 in June 2017.
Tesla’s stock is up more than 53 percent since Oct. 25, when it surprised Wall Street by delivering a small profit in its latest earnings report instead of an expected loss.
Combined with a renewed focus on China and continued growth in Europe, as well as competition that has not yet materialized from the major automakers, shares have been growing steadily.
“A driving factor in the optimism is around China,” Wedbush analyst Dan Ives told The Post. “Gigafactory 3 appears to be ahead of schedule, and the early signs of demand look to be robust.”
“Europe,” he added, “is continuing to still show strength.”
Like Tesla, Musk has seen his fortune grow. Tuesday’s gains saw him add nearly $500 million to his net worth, which now sits at $25.7 billion, according to the Forbes billionaires list.
But don’t expect Musk to paint the town red any time soon. The eccentric billionaire testified in court earlier this month that he is cash poor.
“Some people think I have a lot of cash,” he said. “I actually don’t.”
Shares of Tesla finished the day Wednesday up 3.7 percent at $393.15.
Source: New York Post