'Tesla Bubble Warning Sound Making New History with the Longest Rally Ever'

New Car Launch Schedule Delayed Again, Affecting Stock Market Direction

U.S. electric vehicle maker Tesla set a rare record by rising for 13 consecutive days. Although Tesla's stock price has been on the rise following news that competitors in the electric vehicle market have agreed to use Tesla's charging system, opinions are divided on whether this development is a positive or negative factor. Considering limitations in Tesla's new car strategy, some analysts argue that the recent stock price surge is excessive.

On the 13th (local time), Tesla's stock closed at $258.71, up 3.55% from the previous session, on the New York Stock Exchange. This marks a 110% increase since the beginning of the year. With this, Tesla's stock price has risen for 13 consecutive trading days, breaking the previous record of 12 consecutive days set three years ago. Based on the closing price, Tesla's market capitalization reached $820 billion (approximately 1,044 trillion KRW), surpassing 1,000 trillion KRW again.

The recent rally was fueled by news that U.S. electric vehicle competitors such as General Motors (GM) and Ford have agreed to share Tesla's high-speed charging stations (Superchargers). Tesla operates more than 19,000 charging stations in the U.S., and expectations that Tesla's charging method will become the single standard in North America have driven the stock price higher.

However, opinions differ on whether Tesla's dominance in the charging market will translate into profit growth. Currently, Tesla's revenue from charging services accounts for a single-digit percentage and remains minimal. Tesla CEO Elon Musk also acknowledged these market concerns.

At an energy conference held in Austin, Texas, he said, "(Opening the charging standard to competitors) was morally the right thing to do," but added, "Whether it is financially wise remains to be seen." He also stated, "Tesla's goal is to accelerate sustainable energy use, but in actual competition, this strategy could be disadvantageous."

CEO Musk predicted that demand for electric vehicle charging will triple by 2045. According to Piper Sandler, revenue generated from Tesla opening its charging standard to GM and Ford could reach $3 billion by 2030 and increase to over $5.4 billion by 2032. However, these projections represent only 3.7% to 6.6% of Tesla's annual revenue last year.

The Wall Street Journal (WSJ) pointed out, "While Tesla may increase revenue from charging services by sharing its charging standard with competitors, this strategy could lead to congestion at charging stations and longer wait times, which may negatively affect decisions to purchase new Tesla vehicles."

[Image source=Yonhap News]

Tesla's new car strategy, which has been a key driver of its high growth and stock price direction, is also reaching its limits. WSJ reported that Tesla's upcoming electric pickup truck (Cybertruck) has faced multiple production delays, pushing its release to the end of next year. This is more than three years later than the original 2021 release schedule announced when Tesla first unveiled the Cybertruck to the media in 2019. Tesla has not launched a new vehicle since the Model Y in 2020.

Meanwhile, Nvidia's stock also recorded gains on the same day. As a leading U.S. semiconductor company and a major beneficiary of artificial intelligence (AI), Nvidia's stock closed at $410.22, up 3.90% from the previous session. Nvidia's market capitalization reached $1.013 trillion based on the closing price, making it the first semiconductor company to join the trillion-dollar market cap club. Nvidia's stock price has surged more than 180% this year alone, fueled by the AI boom including ChatGPT.

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