Musk’s Trump Trade Makes Tesla a Winner With $570 Billion Rally
- Stock was down 2% before election, gains 73% since Trump’s win
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A Tesla store in Colma, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Less than two months ago, shares of Tesla Inc. were on their way to just the third losing year in the electric-vehicle maker’s decade-and-a-half as a public company. But after a furious rally in the last seven weeks, the stock is suddenly among the S&P 500 Index’s best performers for 2024.
What happened to trigger the turnaround? Nothing at the company, where demand for its cars is still wobbly and the future looks increasingly uncertain. Rather it was what investors regard as a political masterstroke by Tesla’s leader Elon Musk, aggressively supporting President-elect Donald Trump on the campaign trail and taking an unofficial role in his administration.