The 2020 pandemic hit many companies hard, while other companies took it as a chance to grow, seemingly unaffected by the state of the world around them. NVIDIA (NASDAQ:NVDA) came out as one of those thriving businesses and achieved gains of 122% in 2020. The company’s graphics processing units (GPUs) were present and needed for trends that accelerated exponentially due to the pandemic, boost...
Tesla (NASDAQ: TSLA) stocks experienced a dip on Thursday, falling 8% following a temporary production shutdown at the Fremont Model 3 production plant.
The selling spree continued into Friday, with the stock falling another 1%. However, by Monday, the stocks were already springing back 5.8% right before a quarter before 12:00 pm EST.
So, what’s up with the sudden jump?
On Saturday, the U.S. House of Representatives passed its stimulus bill, which will kickstart a new government spending of around 1.9 trillion dollars to restore the US economy from the COVID-19 pandemic and stop the recession.
Even with the Senate vote still pending, the chances are still in favour of the bill getting passed and finally stamped by U.S. President Joe Biden.
So that explains the sudden fluctuation. But that’s not all for Tesla’s growth.
Wedbush’s analytics are piling up in favour of Tesla, predicting that the electric-vehicle manufacturer’s stocks will continue to rise exponentially. With an estimated industry increase by a factor of 20 (from 250 billion last year to 5 trillion), Tesla’s stock is predicted to experience an increase of 40%-50% in 2021 alone.
Not only that but with both governments and consumers switching to “greener options,” electric car makers will continue to grow over the next decade.