Analysis of Tesla and NVIDIA stocks after Trump’s victory

In this article, we explore the interconnection between some of the most influential figures in the world of technology and politics, with particular attention to the role of Elon Musk, Donald Trump, and the stocks of Tesla and NVIDIA. 

Starting from the trend of the stock market and the potential impact of Trump’s electoral victory, we analyze how this new political phase could influence the value of stocks and the growth strategies of the main American tech companies. 

We will also delve into the connection between Musk and NVIDIA in the context of artificial intelligence, with the possible support of the latter to xAI, Musk’s new startup. In a landscape where technological innovation and economic policy are closely intertwined, these dynamics could give a significant boost to the bull and bear of Tesla and NVIDIA, contributing to shaping the future of the tech sector in the United States.

Market statistics of Tesla and Nvidia stocks 

Tesla (TSLA) recorded a significant growth in the stock market, with an increase in the stock price of +3.54%, closing the day at 251.44 USD. The day started with an opening price of 247.34 USD and saw a maximum peak of 255.28 USD, while the minimum value reached was 246.21 USD. 

The market capitalization of the company has reached an impressive value of 787.88 billion dollars, confirming Tesla as one of the most influential and capitalized companies in the technology and automotive sector. 

Despite a rather high price/earnings (P/E) ratio of 68.94, which reflects investors’ growth expectations, the company does not currently offer dividends. In the context of the last year, the stock has fluctuated between a low of 138.80 USD and a high of 273.54 USD, demonstrating notable volatility. Tesla therefore continues to attract the attention of investors, balancing high expectations and a strong market presence.

NVIDIA (NVDA) showed a positive performance in the market, with an increase of 2.84% in the stock price, closing the day at 139.91 USD. The opening price was 137.45 USD, with a daily high of 140.37 USD and a low of 137.33 USD. The company’s market capitalization amounts to 3.43 billion dollars, positioning it among the leaders in the technology sector, particularly for innovation in semiconductors and artificial intelligence solutions. 

The price/earnings (P/E) ratio of NVIDIA stands at 65.71, a value that reflects high expectations for future growth. The company offers a small dividend with a yield of 0.029%. Environmentally, NVIDIA has received a “B” score in the CDP rating, which assesses the sustainability of companies. 

The close relationship between Elon Musk and Donald Trump: what Tesla gains

With Donald Trump’s victory in the elections, the American political landscape changes and this could have a positive impact on Tesla’s stocks and Elon Musk’s strategies. 

During the first term, Trump promoted tax reduction policies and incentives for businesses, and a similar pro-industry approach is expected to be reintroduced, offering Tesla advantages in terms of tax and incentives for the expansion of its production activities in the United States.

In particular, Trump has always supported the American manufacturing industry, and his policy aimed at encouraging internal production could strengthen the presence of Tesla factories on national territory, contributing to making the company even more competitive. 

Investors are looking with interest at these prospects: regulatory stability and a context favorable to industrial innovation can drive the demand for Tesla shares, which could benefit from a further rise. Elon Musk, with his entrepreneurial vision and adaptability skills, could leverage this new political phase to his advantage, consolidating Tesla’s growth in the American market and fostering an environment conducive to investments.

A chain reaction for NVIDIA’s bull and bear stocks

According to recent rumors, NVIDIA, the world leader by market capitalization in the semiconductor and AI technology sector, could be one of the main supporters of xAI, the new artificial intelligence startup by Elon Musk. 

This collaboration would represent an important synergy: NVIDIA, already known for its advanced GPUs and expertise in AI infrastructures, would provide xAI with the technological support to accelerate the research and development of new artificial intelligence models.

With the victory of Donald Trump, who enjoys a good rapport with Musk, a favorable political environment could emerge for innovative tech companies like xAI and NVIDIA. In such a scenario, Trump’s pro-business policies could further incentivize the tech sector and push investors to bet on stocks like NVIDIA, increasing their stock value. 

NVIDIA’s support for Musk could, therefore, turn into a beneficial strategy for both companies, opening new growth opportunities in the artificial intelligence market.

Source: https://en.cryptonomist.ch/2024/11/06/analysis-of-tesla-and-nvidia-stocks-after-trumps-victory/