Tesla stock snapped a six-day win streak Thursday, reversing from a new all-time high.
TSLA shares fell 1.6% to 418.10 during market action on Thursday after hitting a record 429.30 intraday. On Wednesday, shares jumped to break above the previous all-time high of 414.50, hit on Nov. 4, 2021.
Prior to this week, the stock last touched 400 in January 2022, according to MarketSurge charts.
TSLA stock is on a 69% tear since Donald Trump's election win, as investors speculate that self-driving is coming soon, with the Trump administration easing the regulatory path for autonomous vehicles.
Analysts Coming Out For Tesla
Adam Jonas, Morgan Stanley's high-profile auto analyst and a TSLA bull, on Tuesday was the latest analyst to hike his Tesla stock price target. Jonas increased his TSLA target to 400, up from 310, reiterating an overweight rating. The analyst also maintained Tesla stock as a "top pick."
"Elon Musk's entry into the political sphere has expanded investor thinking around Tesla's fundamental outlook – TSLA shares have since responded by rallying beyond our prior 310 price target," Jonas wrote.
Meanwhile, Jonas remained cautious about Tesla's autonomous driving prospects in the short term.
"While a reassessment of self-driving policies at a national level could be inevitable in our view, we believe Tesla still faces significant hurdles to overcome in terms of technology, testing and permitting required for commercialization," Jonas wrote. "However, we believe U.S. states and metro areas will continue to have the greatest say on final deployment."
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Tesla Stock Performance
TSLA has surged in recent weeks in part on hopes that self-driving is finally on the way. Tesla topped the $1 trillion mark on Nov. 8 for the first time in two years. On Nov. 6, Tesla stock gapped up above an alternate handle buy point of 273.54 but was quickly extended.
Tesla stock popped 3.2% to 369.49 on Dec. 5, clearing a recent range, which could have offered an add-on entry for existing TSLA holders.
However, the stock is more than 70% above its 200-day moving average, a red flag that a stock is becoming overextended.
Tesla stock jumped 5.9% to 424.77 on Dec. 11, clearing the November 2021 all-time high of 414.50. Investors could view the move out of the three-year consolidation as a buy signal, but shares are significantly extended from moving averages.
A pause around current levels might create a lower-risk entry.
Tesla stock ranks first in the 35-member IBD Auto Manufacturers industry group. The stock has a 93 Composite Rating out of a best-possible 99. Shares also have a 97 Relative Strength Rating and a 78 EPS Rating.
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