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Tag: TSLA
Is Tesla Inc. (TSLA) Splitting in the Near Future?
We recently published a list of 12 Stocks That Could Split in the Near Future. In this article, we are going to take a look at where Tesla Inc. (NASDAQ:TSLA) stands against other stocks that could split in the near future.
Stock splits don’t change how much a company is worth, but they make each share cheaper and easier for people to buy, considering it’s a forward split. Stock splits can vary from a simple 2-for-1 split to a larger 100-for-1 split or more. In a 2-for-1 split, each share is turned into two new shares. This makes each share half the price, but the total value of the company remains the same. For example, if a share costs $100, after a 2-for-1 split, you’ll have two shares that cost $50 each. This can make it easier to buy shares and attract more people to invest. Even though the share price goes down, the total amount of money paid out to shareholders stays the same. Hence, splitting shares doesn’t change how much control existing shareholders have in the company. The main goal is to make the company’s stock more appealing to investors. There’s no proof that stock splits make a company better, but they can make investors feel more positive about the company. But with these benefits come the costs and risks. The process requires legal work and can be expensive.
Splitting a stock doesn’t change a good company into a bad one or vice versa. The price might go up a bit after the split, but it won’t change the company’s long-term fundamentals. Sometimes, a low stock price can actually look bad for a big company. Still, many companies practice splitting stocks if their share prices are growing too high.
On January 16, Mark Newton, Fundstrat Global head of technical strategy, joined ‘Squawk Box’ on CNBC to discuss that the long-term market trends look positive. The market initially experienced a cooler-than-expected jump, but concerns were raised about the breadth of the market and the potential impact of interest rates on small-cap stocks. Mark Newton expressed a constructive view but noted that the market’s breadth had deteriorated significantly, with only about 25% of stocks currently above their 50-day moving average. This decline was particularly evident in sectors like healthcare, where seven sectors lost more than 4% in the last month.
Despite these challenges, Newton highlighted that technology stocks had rebounded, helping to keep indices afloat and maintaining long-term trends. However, he noted that near-term sentiment had become pessimistic regarding the potential policies of the president-elect, which added to market uncertainty. He maintained his target for the S&P 500 at 6650, suggesting that interest rates might begin to roll over in the coming months, which could be bullish for equities given their recent correlation with treasury yields.
As Tesla Inc. (TSLA) continues to soar in the stock market, many investors are wondering if a stock split is on the horizon. With shares of the electric vehicle company reaching astronomical prices, some believe that a split could make the stock more accessible to a wider range of investors.Tesla’s stock has skyrocketed over the past year, reaching over $800 per share at one point. This has led to speculation that the company may consider a stock split to bring the price down to a more manageable level for retail investors.
However, Tesla CEO Elon Musk has been known to be hesitant about splitting the stock in the past. In a tweet from 2019, Musk stated, “I don’t think it’s a good idea to split the stock. It just makes it more trading noise, which is distracting.”
Despite Musk’s reluctance, the possibility of a stock split remains a topic of discussion among investors. With Tesla’s market cap continuing to grow, some believe that a split could be beneficial for the company in the long run.
Only time will tell if Tesla will ultimately decide to split its stock. In the meantime, investors will continue to keep a close eye on the company’s movements and announcements for any hints of a potential split in the future.
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Tesla Inc., TSLA, Tesla stock, Tesla split, Tesla Inc. news, Tesla Inc. stock update, Tesla Inc. stock split, Tesla Inc. price prediction, Tesla Inc. market analysis, Tesla Inc. stock split rumors.
#Tesla #TSLA #Splitting #FutureMorgan Stanley Raises Tesla, Inc. (TSLA) Price Target to $430, Citing AI-Driven Autonomous Mobility Growth
We recently compiled a list of the Top 10 AI Stocks on Latest Analyst Ratings and News. In this article, we are going to take a look at where Tesla, Inc. (NASDAQ:TSLA) stands against the other AI stocks.
As President Joe Biden nears the end of his term, he is issuing a series of executive orders. In the latest, the President has signed an order to provide federal support to address the massive energy needs of fast-growing advanced artificial intelligence data centers.
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The order will allow federal land owned by the Defense and Energy departments to host gigawatt-scale AI data centers and new clean power facilities. According to Biden, the order will “accelerate the speed at which we build the next generation of AI infrastructure here in America, in a way that enhances economic competitiveness, national security, AI safety, and clean energy”.
According to the order, companies tapping federal land for AI data centers must also purchase an “appropriate share” of American-made semiconductors. These purchases will be decided on a case-by-case basis.
“It’s really vital that we ensure that the AI industry can build out the infrastructure for training and using powerful AI models here in the United States”.
Several known names, including OpenAI Senior Vice President of Global Affairs Chris Lehane, have commended this effort. Lehane also called out for cultivating a robust domestic infrastructure for the growing U.S. artificial intelligence sector.
“So what you get with the Biden administration today is — at least from a signaling perspective — on federal land, trying to short the timeline between when you can get your project shovels in the ground and then the project going forward”.
According to Lehane, the incoming Trump administration sees AI through two lenses — national security and economic security. He hopes that both sides of the coin will amalgamate into a national strategy.
AI Company OpenAI has also recently laid out its vision for artificial intelligence development in the U.S. According to the company, the US needs investment from abroad and supportive regulation to stay ahead of China in the race for nascent technology. In a 15-page document called the “Economic Blueprint”, it said that “Chips, data, and energy are the keys to winning AI” and that the U.S. needs to act now to craft nationwide rules that can help secure its advantage.
Morgan Stanley Raises Tesla, Inc. (TSLA) Price Target to $430, Citing AI-Driven Autonomous Mobility GrowthIn a recent report, Morgan Stanley analysts have raised their price target on Tesla, Inc. (TSLA) to $430, citing the company’s advancements in AI-driven autonomous mobility technology. The analysts believe that Tesla’s innovative approach to self-driving technology will drive significant growth in the coming years, leading to a higher valuation for the company.
According to the report, Tesla’s advancements in AI and machine learning have enabled the company to make significant progress in developing fully autonomous vehicles. This technology has the potential to revolutionize the transportation industry, making driving safer, more efficient, and more convenient for consumers.
Morgan Stanley’s bullish outlook on Tesla’s autonomous mobility business comes as the company continues to make significant investments in research and development. Tesla CEO Elon Musk has repeatedly emphasized the importance of AI and machine learning in achieving fully autonomous driving, and the company has made significant progress in this area in recent years.
Overall, Morgan Stanley’s analysts believe that Tesla’s AI-driven autonomous mobility technology will drive significant value for the company in the long term, leading to a higher price target of $430. Investors are advised to keep a close eye on Tesla’s advancements in this area, as they could have a significant impact on the company’s future growth prospects.
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Morgan Stanley, Tesla Inc, TSLA, price target, $430, AI, autonomous mobility, growth, investment, stock analysis
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Ross Gerber Says Tesla (TSLA) Is ‘Almost Like a Meme Stock’
We recently published a list of Wall Street Is Focusing on These 10 AI Stocks as New Year Begins. In this article, we are going to take a look at where Tesla, Inc. (NASDAQ:TSLA) stands against other stocks Wall Street is focusing on as the new year begins.
Dan Niles, Niles Investment Management founder, recently said in a program on CNBC that a slowdown in spending could be a “big problem” for major AI players in 2025. The analyst highlighted that when Satya Nadella was asked whether his company was facing a chip shortage, the head of the Redmond software giant said his company was facing a power shortage, not a chip shortage. Niles said this goes against the claims of Jensen Huang who has been pointing to unprecedented demand for AI chips.
“If you look at the Magnificent 7 (except one) …. they are trading at a low 30 PE. The S&P 500 is trading at a 25 PE, but if you look at the midcap and small-cap stocks, which people have forgotten about because they’re not really AI plays, they’re trading at around 19 to 20 times. They’ve underperformed up until sort of mid-year when the performance picked up. If you look at stocks since June 30th, basically, the S&P is up about 8%, but the NASDAQ 100 is only up 7%. The Russell 2000 is actually up 10% after being only up 1% for the first six months of the year. So you’re already starting to see this broadening out, and I think with the new administration really focused on domestic manufacturing, deregulation, etc., that’s going to benefit the small midcap names more so than names in the S&P 500,” Niles said.
Niles said stocks can face a “rough” time in the first quarter amid the changing posture of the Fed.
“The Fed finally admitted inflation wasn’t transitory. I think that might have been the wakeup call, which is why I think Q1 could be a really rough time for a lot of the, you know, the market as a whole, but a lot of the mega cap stocks as well. As we have to kind of price in the fact that the FED might, you know, they might pause or they might even raise next year, which I think that’s a 50/50 shot of whether they cut, raise, or hold.”
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For this article, we picked 10 AI stocks analysts are talking about heading into 2025. With each company we have mentioned its number of hedge fund investors. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
In a recent interview, Ross Gerber, the CEO of Gerber Kawasaki Wealth and Investment Management, made some interesting comments about Tesla (TSLA) saying that it is ‘almost like a meme stock’. With Tesla’s stock price and volatility drawing comparisons to meme stocks like GameStop and AMC, Gerber’s statement highlights the unique position that Tesla holds in the market.Gerber went on to explain that Tesla’s valuation is largely driven by factors beyond traditional metrics like earnings and revenue, such as Elon Musk’s cult-like following and the company’s disruptive technology. He also mentioned that Tesla’s stock price is highly influenced by social media hype and retail investors, similar to how meme stocks are propelled by online communities.
While some investors may view Tesla’s valuation as overinflated and unsustainable, others see it as a reflection of the company’s potential for growth and innovation. As Tesla continues to push the boundaries of electric vehicles and renewable energy, its stock price is likely to remain a topic of debate among investors.
Overall, Gerber’s comments serve as a reminder of the evolving nature of the market and the influence of social media on stock prices. Whether Tesla is truly a ‘meme stock’ or not, one thing is clear – it continues to capture the attention of investors and analysts alike.
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Ross Gerber, Tesla, TSLA, meme stock, stock market, investing, electric vehicles, Elon Musk, sustainable energy, technology, automotive industry
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