TSLA Stock May See Potential Buyers Entering The Market

Since his Twitter acquisition, Elon Musk’s empire has declined significantly. In addition to the financial plunge, an SEC filing shows that the Tesla (NASDAQ: TSLA) CEO has sold 22 Million company shares worth $3.6 Billion, leading the TSLA stock price to fall. To this date, he has sold around 94 Million Tesla shares and still holds 424 Million.

Tesla’s Dominance in EV Sector

In other news, the racism lawsuit filed against the company in June 2022 is gaining momentum lately, Bloomberg reported. The company will ask the court to keep a worker away from seeking class action status. He previously complained about harassment and racial discrimination allegedly happening in the organization. The company has faced more high-profile cases in the past.

On one hand, allegations can deliver a loss to the company, both financial as well as reputational. While on the other hand their work in the EV industry is admired by many. The organization has increased their electric vehicle production from 83,992 vehicles in 2016 to 929,910 in 2022 so far. Similarly the delivery rate increased from 75,900 in 2016 to 908,880 in 2022.

Company’s brand value has increased from $41.61 Billion in 2021 to $75.93 Billion in 2022. Their research and development expenses have elevated from $464.7 Million in 2016 to $2.5 Billion in 2021. Currently, they have a fleet of over 36,000 superchargers alongside 3,971 supercharging stations.

In a recent Consumer Report survey, Tesla Model 3 came in second under the most reliable EV category, followed by Nissan Leaf. Many people have alleged the electric automotive industry to be more hazardous in contrast to the traditional automobile sector. The Environmental Protection Agency (EPA) busted all the myths associated with EV space.

EPA stated in a blog post that these vehicles have a smaller carbon footprint in contrast to the conventional automobiles. They have to go through a complex testing process similar to the other vehicles before going on-road. Apart from this, there are over 45,000 charging stations in the US to facilitate EV charging.

TSLA Stock Price Action

The company shares have lost over 60% in a year but the technicals indicate a positive momentum is likely in near future. RSI indicates TSLA stock entering an oversold zone, where the buyers may enter the market, pushing the share value. But if we go by the regression trend, Tesla shares may see more sellers in the sector.

Elon Musk can increase the company’s focus on the EV sector considering bullish perceptions of experts in the sector. Also, he lost a major wealth recently which brought him down from the richest to second richest person on earth. Electric vehicle market may help him regain the crown for the wealthiest human as well as TSLA stock to break the price barriers it has witnessed for the past few months.

TSLA stock had already started falling in the pre-market, changing hands at $157.59 at the publication time.

Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.