Tesla's amazing surge pushed the Nasdaq to a record.
 | TUE, FEB 04, 2020 | | | | DOW | | NAME | LAST | CHG | %CHG | | MSFT | 180.12 | +5.74 | +3.29% | | AAPL | 318.85 | +10.19 | +3.30% | | XOM | 59.97 | -0.76 | -1.25% | |
| | S&P 500 | | NAME | LAST | CHG | %CHG | | F | 9.18 | +0.20 | +2.23% | | EBAY | 37.41 | +3.02 | +8.78% | | AMD | 49.45 | +1.43 | +2.98% | |
| | NASDAQ | | NAME | LAST | CHG | %CHG | | TSLA | 887.06 | +107.06 | +13.73% | | EBAY | 37.41 | +3.02 | +8.78% | | AMD | 49.45 | +1.43 | +2.98% | |
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Tesla's meteoric rise is drawing a wave of wonder and awe on Wall Street.
Shares of the electric-car maker jumped more than 20% at one point to above $900 on Tuesday, a day after the stock scored its biggest one-day gain in six years. The massive rally pushed Tesla's market capitalization to above $160 billion for a short time, topping that of Netflix, Nike and General Motors. The stock sharply cut gains into the close, but still ended the day with a big surge.  Some believe Tesla has become unmoored from its fundamentals, fueled by short covering and the fear of missing out among investors not holding the stock. They worry Elon Musk's company might be a speculative bubble, Maggie Fitzgerald writes.
"Tesla has gone parabolic," said Matt Maley, chief market strategist at Miller Tabak. "This is taking Tesla well above a level that would be supported by its current fundamentals. … The stock is going to get absolutely clobbered at some point before long." Others contend that the company's fundamentals and future growth justify the magnitude of the rally. Not only is Tesla a leader in electric vehicles, but its growing battery, solar and autonomous driving divisions will fuel future gains, Pippa Stevens writes, citing investors.
Who knows how it will end, but one thing is undeniable: Tesla right now is a one-stock mania, according to Michael Santoli. Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world. |
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