Shares of electric-car firm Tesla (NASDAQ:TSLA) jumped on Monday, rising about 9% by the point the market closed.
The stock’s achieve follows a pullback within the stock price towards the tip of final week. Some traders may have thought drawdown on Friday created an excellent shopping for alternative, serving to drive a rebound within the stock on Monday. However there are different potential causes for the stock’s achieve on Monday, together with bullishness within the total market and hypothesis that the automaker goes to construct new and improved batteries at its manufacturing facility in Berlin, Germany based mostly on new know-how.
Tesla manufacturing facility. Picture supply: The Motley Idiot.
It wasn’t shocking to see Tesla stock shifting increased on Monday. Highlighting constructive sentiment within the total stock market, the Nasdaq rose 1.7% by market shut. Many progress stocks like Tesla have been up much more.
However the automaker’s stock may have additionally obtained a carry from a report that Tesla may be on the brink of make batteries based mostly on new know-how. Jorg Steinbach, Minister of Economics in Germany and “one of many fundamental backers” of Tesla’s new manufacturing facility within the nation (in keeping with Electrek), says that the corporate will construct a brand new battery with increased vitality density, enabling longer driving vary.
Steinbach instructed RBB24, a information web site based mostly in Germany, that Tesla will share extra particulars on this battery at an occasion in late September.
The corporate does have a Battery Day occasion scheduled on Sep. 22. If this new battery actually does come to market, traders may get extra info on the know-how and Tesla’s plans for it throughout this occasion.