Tesla Cybertruck priced 50% higher than forecast
Tesla, all sessions, gets weighed by news that it has priced the long-delayed Cybertruck 50% higher than initially estimated. IG's @AngelineOng looks at what the differing views on Tesla could mean for its stock.
(Video Transcript)
Tesla's share price up 95% year to date
One of the charts that is very interesting on a daily basis is Tesla. I just want to show this to you. This is the hourly chart for Tesla. And we are monitoring it closely because it came out earlier today saying that it was going to price the Cybertruck.
This is the much awaited Cybertruck, much higher than its initial forecast. Tesla saying that the Cybertruck is going to be about 50% higher than initially estimated. And also the three variants of the Cybertruck will start at around $61,000, going up to around $99,990. We'll call it $100,000 just to simplify that for you.
Now, Tesla's share price, as you can see here, is interesting because it is forming a bit of what we call a wedge here in terms of technical analysis. And as Axel said earlier, the trend is your friend and we are seeing this wedge narrow.
Cybertruck news may disappoint Tesla fans
And indications are that volumes hold and it continues in this sort of trend line. And we could see those shares move slightly lower. Indeed, the Cybertruck news is not going to be welcome for hardcore Tesla fans.
Tesla has been having lots of difficulties trying to get the Cybertruck into the market. There were lots of delays and it did not have a concrete date for the release and delivery for a really long time.
Wedbush saying that Cybertruck does not significantly move the financial needle for Tesla in the coming year. And RBC also saying that they view Cybertruck as more of a halo product, something that attracts consumers to the brand rather than being a cash cow itself.
But, like everything Tesla related, Tesla is quite good at surprising the market. And what I can tell you that year to date is that Tesla's shares are still up around 95% as of the last close.
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