Ever since Tesla (TSLA) CEO Elon Musk bet on Donald Trump and supported him, Tesla shares gained a solid 69%. Markets expect the U.S. government will introduce legislation that would benefit Tesla.
Rivals Lucid Group (LCID) also bounced back. But short-sellers have a firm, 23.66 short float bet against LCID stock. Rivian (RIVN) also gained nearly 25% in the last month. Yet TSLA stock, which trades at a 116 times P/E, has the best prospects. Shares traded higher for six straight trading sessions.
Markets recognize that Tesla keeps expanding its product base. It is managing the price erosion for electric vehicles by operating more efficiently. It expanded in the robotics industry with Tesla Optimus. The firm may enhance Optimus by powering it with AI.
For its EV owners, the firm promises to deliver self-driving software.
In the supermarket sector, watch Kroger (KR). It is buying back $7.5 billion worth of shares after the merger deal with Albertsons (ACI) was terminated.
EQT Corporation (EQT) gained 5.88% yesterday and could jump again today. Investors are buying natural gas suppliers over oil producers.
Broadcom (AVGO) could add to yesterday’s 6.63% gain. A news outlet reported that Broadcom will develop an in-house server chip to power Apple’s AI. The code name for the chip is Baltra. Broadcom would have the chip ready for mass production as soon as 2026.
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