Tesla stock rebounded in January, surging 41%

Posted on March 02, 2023 by Peter McGuthrie

January marked an impressive rebound for Tesla’s stock, leaving some investors wondering what could come next. For now, many are appreciating profits as a nice change of pace after a tough 2022 for the company’s stock. 

Tesla’s shares jumped by 41 percent in January, according to Dow Jones Market Data and as detailed by Barron’s in a recent report. The automaker’s shares ended the month trading at $173.22, after shares bottomed at $101.81 on January 6.

January also represented Tesla’s best month since October 2021, when it rose 44 percent closing at a pre-stock-split price of $371.33. CappThesis founder and technical analyst Frank Cappelleri pointed to the stock chart, noting what Tesla may need to do to maintain positive investor sentiment.

“Needless to say, this pace can’t continue, but for the comeback to persist, Tesla [stock] must now prove it can constructively digest these gains,” Cappelleri said. “Specifically, it would be beneficial if the stock pauses, forms a bullish pattern, and then breaks out again. Other than that, it’s challenging to chase it in the short term.”

Cappelleri points out that investors often look short-term following huge rallies, not expecting the good times to last. Additionally, it can be painful for some to lose out on money gained so quickly — sometimes leading to selloffs that can slow or halt momentum for a company’s stock rallies.

Barron’s also notes that market technicians primarily look at chart patterns as indicators of general investor sentiment, in hopes to determine what may come next. 22V Research market technician John Roque predicted in late 2022 that Tesla had a $100 downside, prior to the stock’s January 6 bottom.

To be sure, both Roque and Cappelleri are viewing the stock from a technical angle, though fundamentals do ultimately determine what happens to a stock, as Barron’s explains. Still, Tesla investors can expect to hear some crucial fundamentals and data points at the automaker’s upcoming shareholder meeting, set for March 1.

At the time of writing, Tesla’s shares are up 54.23 percent year-to-date, compared to around the overall S&P 500 index and the Nasdaq Composite index, which are up around 7.73 percent and 14.72 percent, respectively.

While it’s impossible to predict what Tesla’s shares may do in the coming months and years, Barron’s calls the company’s January performance a bullish sign, especially for long-term investors.

===

Source: Barron’s

Related Posts

Elon Musk’s Plans to Improve Cash Flow at Twitter by Next Quarter
It’s been just four months since Tesla CEO Elon Musk took over Twitter, and a lot has happened in that time. Despite declining advertising revenue in recent months, the company may still improve its cash flow by next quarter, according t...
Read More
Celebrating the 10-year anniversary of EVANNEX
I decided to move to South Florida from the Big Apple. It was 2011, and I just got married. I was also (soon after) blessed with a beautiful baby girl. My life was changing, fast. One day, at my parents house, my father called me into hi...
Read More
Tesla Stock More Popular Than Ever with Individuals: WSJ
Tesla’s stock has been popular this year, and retail investors have been no exception to this fact. With tens of billions spent on Tesla shares already purchased this year, the company outpaces any other security by far, and they’re alre...
Read More

Posted in Electric Vehicles, Tesla, Tesla Stock, TSLA


Next

Previous

Join over 60,000 Tesla fans, enter your email to subscribe:

Accessories for Tesla