Can Tesla ETFs Maintain New-Found Winning Momentum?

Zacks07-10

Shares of the electric vehicle (EV) giant Tesla Inc. TSLA have suffered a lot in recent times due to margin pressure, stiff competition and the overall drag in its business growth. However, luck is ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2450646003?lang=en_US&edition=fundamental","thumbnail":"https://s.yimg.com/uu/api/res/1.2/seAnphnvgYq38muW33AO6w--~B/aD00MDA7dz02MzU7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/affdd39d2cfb5dfef2e1f5541ff50f90","is_english":true,"pubTime":"2024-07-10 03:00","share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","id":"2450646003","market":"us","top_or_hot":-1,"title":"Can Tesla ETFs Maintain New-Found Winning Momentum?","media":"Zacks","content":"<div>\n<p>Shares of the electric vehicle (EV) giant Tesla Inc. TSLA have suffered a lot in recent times due to margin pressure, stiff competition and the overall drag in its business growth. However, luck is ...</p>\n\n<a href=\"https://finance.yahoo.com/news/tesla-etfs-maintain-found-winning-190000125.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Can Tesla ETFs Maintain New-Found Winning Momentum?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCan Tesla ETFs Maintain New-Found Winning Momentum?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-07-10 03:00 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/tesla-etfs-maintain-found-winning-190000125.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Shares of the electric vehicle (EV) giant Tesla Inc. TSLA have suffered a lot in recent times due to margin pressure, stiff competition and the overall drag in its business growth. However, luck is ...</p>\n\n<a href=\"https://finance.yahoo.com/news/tesla-etfs-maintain-found-winning-190000125.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU1852331112.SGD","symbol_name":"Blackrock World Technology Fund A2 SGD-H","start_time":0,"source_url":"https://finance.yahoo.com/news/tesla-etfs-maintain-found-winning-190000125.html","article_id":"2450646003","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/seAnphnvgYq38muW33AO6w--~B/aD00MDA7dz02MzU7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/affdd39d2cfb5dfef2e1f5541ff50f90"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2450646003","pubTimestamp":1720551600,"columns":[],"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Shares of the electric vehicle  giant Tesla Inc. TSLA have suffered a lot in recent times due to margin pressure, stiff competition and the overall drag in its business growth. However, luck is turning in Tesla’s favor, with its stock surging 44.7% past month . Shares are now hovering around a six-month high.Despite this huge jump in stock price, Tesla shares have fallen 6.7% in the past year. TSLA even became one of the worst-performing stocks of the S&P 500 in the initial phase of this year. However, a rebound story seems to be awaiting due to a host of reasons. The recent performance now leads to the question of whether it is time to buy Tesla.In early July, Tesla announced better-than-expected deliveries for the second quarter of 2024. The numbers point to improved demand that may help ease concerns around excess inventory for its flagship Model 3/Y .","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","FDN":"First Trust Dow Jones Internet I","BK4511":"特斯拉概念","BK4548":"巴美列捷福持仓","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","LU0316494557.USD":"FRANKLIN GLOBAL FUNDAMENTAL STRATEGIES \"A\" ACC","LU1861215975.USD":"贝莱德新一代科技基金 A2","BK4581":"高盛持仓","LU1548497426.USD":"安联环球人工智能AT Acc","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","LU1551013425.SGD":"Allianz Income and Growth Cl AMg2 DIS H2-SGD","BK4592":"伊斯兰概念","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","LU0943347566.SGD":"安联收益及增长平衡基金AM H2-SGD","LU2357305700.SGD":"Allianz Global Artificial Intelligence ET H2-SGD","ARKK":"ARK Innovation ETF","BK4534":"瑞士信贷持仓","LU0234570918.USD":"高盛全球核心股票组合Acc Close","BK4555":"新能源车","SG9999015952.SGD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (SGD) ACC","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4533":"AQR资本管理(全球第二大对冲基金)","LU0823411888.USD":"法巴消费创新基金 Cap","LU0053666078.USD":"摩根大通基金-美国股票A（离岸）美元","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","LU1551013342.USD":"Allianz Income and Growth Cl AMg2 DIS USD","LU0082616367.USD":"摩根大通美国科技A（dist）","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","XLY":"消费品指数ETF-SPDR可选消费品","VCAR":"Simplify Volt RoboCar Disruption and Tech ETF","BK4527":"明星科技股","BK4588":"碎股","BK4550":"红杉资本持仓","TSLA":"特斯拉","LU0234572021.USD":"高盛美国核心股票组合Acc","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","IE00BSNM7G36.USD":"NEUBERGER BERMAN SYSTEMATIC GLOBAL SUSTAINABLE VALUE \"A\" (USD) ACC","LU1914381329.SGD":"Allianz Best Styles Global Equity Cl ET Acc H2-SGD","BK4574":"无人驾驶","BK4544":"ARK ETF合集","TSLL":"Direxion Daily TSLA Bull 2X Shares","PP":"THE MEET KEVIN PRICING POWER ETF","LU0823414478.USD":"法巴经典能源转换基金","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","SG9999015986.USD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (USD) ACC","SG9999015978.USD":"利安颠覆性创新基金A"},"translate_title":"特斯拉ETF能否保持新的获胜势头？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"XLY":1,"VCAR":1,"TSLL":1,"ARKK":1,"PP":1,"TSLA":0.95,"FDN":0.9},"content_text":"Shares of the electric vehicle (EV) giant Tesla Inc. TSLA have suffered a lot in recent times due to margin pressure, stiff competition and the overall drag in its business growth. However, luck is turning in Tesla’s favor, with its stock surging 44.7% past month (as of Jul 5, 2024). Shares are now hovering around a six-month high.\nDespite this huge jump in stock price, Tesla shares have fallen 6.7% in the past year. TSLA even became one of the worst-performing stocks of the S&P 500 in the initial phase of this year. However, a rebound story seems to be awaiting due to a host of reasons. The recent performance now leads to the question of whether it is time to buy Tesla.\nLet’s delve a little deeper.\nTesla Sets New Q2 Delivery Record\nIn early July, Tesla announced better-than-expected deliveries for the second quarter of 2024. The numbers point to improved demand that may help ease concerns around excess inventory for its flagship Model 3/Y (read: Tap Tesla's Better-Than-Expected Q2 Deliveries With These ETFs).\nThis leading electric carmaker delivered 443,956 (422,405 Model 3/Y and 21,551 other models) cars worldwide in the second quarter of 2024. Though it is down 4.8% from the year-ago quarter, delivery numbers were better than the 436,000 that analysts had expected.\nThe annual drop in sales reflects the increased competition in the electric vehicles market. The sales of electric vehicles were at a slower pace, which resulted in investors demanding each car sold be more profitable than before. Tesla produced 410,831 (386,576 Model 3/Y and 24,255 other models) vehicles during the quarter.\nTesla’s Foray Into AI Regime\nTesla has been reforming itself from a car company to a technology and robotics company, mainly driven by artificial intelligence (AI) and autonomous driving technology. Tesla is betting big on driverless software and artificial intelligence in an attempt to revive sales.\nIt is slated to introduce “robotaxis” — a driverless car without a steering wheel or pedals on Aug 8. The next-generation vehicle is widely thought to be key to the electric automaker’s survival, especially as competition heats up in the EV space.\nIn late April, Tesla CEO Elon Musk announced that the company will spend about $10 billion this year on training and inference AI. Tesla's emphasis on AI and autonomous driving is seen as potentially transformative amid the current AI buzz.\nTesla Awaiting Improved Profit Margins?\nAnalysts like Morningstar Inc.'s Seth Goldstein predict improved profit margins for Tesla, thanks to lower production and raw material costs, as quoted on Bloomberg. He expects the company to “return to profit growth” next year.\nTesla is expected to record 35.08% growth next year versus 24.50% expected growth from the Automotive – Domestic industry and 9.31% growth expected from the S&P 500. Over the next five years, Tesla’s growth rate is expected to be 21.60% versus the underlying industry’s growth rate of 15.40%.\nEV Space Gaining Gradual Momentum\nElectric car sales remained robust in the first quarter of 2024, having grown by 25% year over year. Since 2021, first-quarter electric car sales have typically made up 15-20% of the total global annual sales, per IEA.\nThe major share of the first-quarter sales growth this year came from China. Chinese EV sales are expected to grow by almost 25% in 2024, followed by the United States’ 20% growth, according to an IEA report.\nNotably, the key growth in relative terms occurred in the first quarter outside the major EV markets, where sales rose by over 50%, indicating a rapid transition to electromobility in countries worldwide.\nIEA now forecasts 2024 EV sales to log a year-over-year increase of 20%. And EVs are likely to command more than one-fifth share of total car sales.\nAny Wall of Worry?\nPolitical shifts, including potential policy changes under Trump administration (if he wins the November election), add uncertainty to the EV market as Trump promotes fossil fuel. And Cybertruck, Tesla’s first new consumer model in years, has been slow to gain momentum.\nThe Bloomberg Electric Vehicles Price Return Index reflects a challenging year for EV stocks. EV manufacturers face huge challenges related to funding crisis. Some analysts and fund managers point to the need for industry consolidation and improved profitability before the sector stabilizes, per the Bloomberg article.\nBut then, Trump is famous for tariff wars against China. If he wins, he is expected to levy massive tariffs on the Chinese EV players, which should better position Tesla.\nWhat Do Technical Indicators Say?\nIn fact, Tesla recently saw its 14 Day SMA (Simple Moving Average) going above its 50 Day SMA, suggesting short-term bullishness. The Tesla stock is also seeing a positive reading in its Parabolic SAR, further confirming its short-term bullishness.\nBut over the long term, one should be careful as the relative strength index of the Tesla stock is hovering around 80. The value is considered overbought. Overall, it looks like Tesla is a good short-term play but it will take more time to present Tesla as a good long-term bet. Tesla currently has a Zacks Rank #3 (Hold).\nImage Source: Zacks Investment Research\nETFs in Focus \nInvestors seeking to tap the short-term uptrend in Tesla may buy ETFs having a substantial allocation to this luxury carmaker as the ETF approach minimizes company-specific concentration risks. These ETFs include Direxion Daily TSLA Bull 1.5X Shares TSLL, MeetKevin Pricing Power ETF PP, Consumer Discretionary Select Sector SPDR Fund XLY, Simplify Volt Robocar Disruption and Tech ETF VCAR and ARK Innovation ETF ARKK.\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nTesla, Inc. (TSLA) : Free Stock Analysis Report\nConsumer Discretionary Select Sector SPDR ETF (XLY): ETF Research Reports\nARK Innovation ETF (ARKK): ETF Research Reports\nThe Meet Kevin Pricing Power ETF (PP): ETF Research Reports\nSimplify Volt Robocar Disruption and Tech ETF (VCAR): ETF Research Reports\nDirexion Daily TSLA Bull 2X Shares (TSLL): ETF Research Reports\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2450646003"}