NSANF - Tesla: Robotaxi Hype Might Not Turn It Around
2024-06-19 08:30:00 ET
Summary
- I previously warned about the possibility of Tesla, Inc. stock falling to re-test the $150 support level.
- Tesla stock fell toward the $140 zone but bottomed soon after. Is the decline over?
- Shareholders reapproved CEO Elon Musk's 2018 compensation package, but legal challenges remain.
- Investors should be cautious about Tesla's hype surrounding Robotaxi Day, given Tesla's growth premium.
- I argue why cracks are building up underneath the surface, suggesting Tesla investors must brace for more pain.
My Tesla Stock Caution Panned Out
I cautioned Tesla, Inc. ( TSLA ) investors about adding ahead of TSLA's Q1 earnings release, as it seemed increasingly likely to re-test its $150 support zone. My caution on TSLA panned out, as it fell toward the $140 zone before bottoming. However, Tesla buyers appeared to have shaken off its relatively weak Q1 performance. In addition, CEO Elon Musk won a crucial confidence vote as shareholders voted overwhelmingly in favor of reapproving Musk's 2018 compensation package. As a result, I assess that the opportunity for me to provide an update for TSLA investors is timely....
Tesla: Robotaxi Hype Might Not Turn It Around