Tesla Eyes Another Record Close on Model 3, Delivery Updates

Shorts have also been hitting the exits, a potential boon to TSLA

by Emma Duncan

Published on Jan 3, 2020 at 10:26 AM

Buzz around Tesla Inc (NASDAQ:TSLA) continues to swirl this morning, with the electric-car maker drawing headlines on news it will reduce the starting price of its Model 3 sedans made in its Shanghai factory by 16%. The cut in price comes after the company received electric-vehicle subsidies from China.

Also triggering this morning's surge are reports the company beat production output expectations for the fourth quarter, delivering 112,000 vehicles, compared to estimates for 104,960 deliveries. At last glance, TSLA is up 3.7%, at $446.32, earlier hitting a fresh record high of $454.

Short sellers have been hitting the exits, with short interest down 4% in the most recent reporting period. This accounts for a whopping 20% of Tesla stock's total available float, or nearly three times the equity's average pace of trading.

Today's gains have the equity eyeing not only a record close, but a third straight win, as well. Tesla stock sliced through the 320-day moving average's ceiling in late October, and now sports a healthy 49% year-over-year lead.

A Schaeffer's exclusive

11 Stocks to Buy Before Leap Day

Access your FREE insider report before it's too late!



NEW! Explore Schaeffer’s Partners' deals and get connected to top online brokerages with deals tailored exclusively for our readers.  Get answers to your questions regarding transfer fees, commission rates, programs and available discounts related to online trading services.

MORE | MARKETstories

Why One Investor Is Betting $523,111 on This 1 Stock
This small, California-based company is pioneering breakthrough technology that is enabling companies to move vast quantities of data over the Internet at lightning speeds.
Walmart Holding Steady Despite Lackluster Earnings
WMT is up 19% year-over-year
Medical Supplier Falls Victim to Coronavirus Headwinds
Disappointing earnings are shattering MDT today
IRA/401K Investment Guide: 2019 Stock Market Crash
Use gold to protect any IRA, 401(k), or retirement account from a looming financial crisis.