Tesla accelerates on the stock market with the overwhelming victory of Donald Trump in the United States presidential elections. His boss and first shareholder, Elon Musk, has thrown himself fully into the president-elect’s campaign and is perceived as one of the great beneficiaries of his victory at the polls. It is somewhat paradoxical, because until not long ago Trump ridiculed electric cars and is a fervent supporter of fossil fuels. Still, a friendlier regulatory environment can help Musk move his projects forward. This Friday, the company surpassed $1 trillion in stock market value, something it had not achieved since 2022.
Musk has been part of the United States presidential campaign. Already in May it was known that he would win the elections. Later, the candidate himself confirmed that he was elected. Even at Tesla’s June shareholder meeting, Musk talked about his relationship with the Republican, and how he sometimes called him. said.
His involvement, however, had only just begun. The South African-born tycoon to an organization he created, America PAC, to boost Trump’s campaign, although the account later exceeded 120 million. He openly called for a vote for Trump after the assassination attempt in Butler, Pennsylvania. In that same place, one month before the elections and
Musk later continued to campaign alone with trips to Mars. In one of them, the Department of Justice pulled some for registered voters out of the hat, but it turned a deaf ear. The Philadelphia prosecutor to stop them without success and Musk’s lawyers then recognized that in reality the winners were chosen.
He was so active in seeking votes for Trump and in spreading hoaxes that even the president, Joe Biden, when he was a student, was able to work without a visa to do so. Musk continued campaigning with Trump, and accompanied the Republican to his electoral victory.
The public spending efficiency commission that he aspires to lead aims to avoid excess regulations. This can benefit it both in the development of its autonomous cars and in the launch of its rockets. In some way, it can. Meanwhile, its companies will continue to have juicy contracts with the State.
Regulatory measures
The stock market surge due to Trump’s victory is also added to the campaign, after presenting the third quarter results, which exceeded expectations. In his own conference with analysts he spoke about what he would do with his position if the Republican won the elections. Among other things, creating a simpler path to federal approval of autonomous vehicles instead of the complicated state regulations that now exist. “A national approval is important. It is part of the efficiency of the Government, I will try to help it move. And it will be for everyone, not just Tesla,” he indicated then.
“Tesla and its CEO Elon Musk are perhaps the biggest winners of the election result, and we believe Trump’s victory will help accelerate regulatory approval of the company’s autonomous driving technology,” Garrett Nelson, senior revenue analyst, told Reuters. CFRA Research variable.
Tesla but has continued to rise strongly. In the last five days it has appreciated 33%, including a rise of close to 9% this Friday, when it reached a maximum of $324.90 per share. In the last year, the shares are up 46%, thanks mainly to the recent pull. Elon Musk owns 135% of the capital, valued at about $130 billion. In one week, his fortune has increased by about 30,000 million through that means alone. His rocket company, SpaceX, is not listed, but if it did, it would surely have skyrocketed as well.
The electric car company but then its shares fell sharply due to the increase in competition in the segment. Trump’s protectionist policies may also help him defend his high market share in the United States.
Tesla is not the only one that has had a great Friday in the stock market. Truth Social, the president-elect’s social network, has also skyrocketed in the stock market after Trump tweeted that he does not plan to sell shares of the company, of which he is the main shareholder. Curiously, it is the only message he has written on his social network since he won the elections. “There are rumors and/or false, false and probably illegal statements, made by, perhaps, market manipulators or short sellers, that I am interested in selling shares of Truth. THOSE RUMORS OR STATEMENTS ARE FALSE. I HAVE NO INTENTION TO SELL!”, asking that those who “have unleashed these false rumors or statements” be investigated. Shares of Trump Media & Technology Group, which is what the company is called, have soared more than 15%.
