Tesla Drops 20% in a Month, Surges 10% to Recover 'Gubaeksla'

[Image source=AP Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] Tesla's stock price, which has fallen more than 20% since the beginning of the new year, surged more than 10% on the 31st (local time).

On that day, Tesla's stock price closed at $936.72, up 10.68% from the previous trading day on the Nasdaq market.

CNBC analyzed, "The overall rise in the New York stock market that day, along with investment bank Credit Suisse issuing a buy rating on Tesla stock, expecting it to yield higher returns than the overall market increase, was the driving force behind the stock price surge."

Credit Suisse stated that it is a buying opportunity for Tesla stock and set Tesla's target price at $1,025.

Credit Suisse said, "Tesla mainly delivered a surprise operating profit through cost reductions, and we believe such strong operating profit is sustainable."

They also predicted, "Although traditional automakers are showing clear moves to switch to electric vehicles, Tesla will maintain its leading position for the time being."

Credit Suisse further forecasted that Tesla's operating profit will increase even more as it releases more Full Self-Driving (FSD) features in the future.

In this regard, Tesla CEO Elon Musk stated on Twitter on the 28th, "Tesla will support other automakers in using Full Self-Driving features." However, he did not disclose whether any automakers have shown actual interest or when this support would begin.

This content was produced with the assistance of AI translation services.