Analysis of stocks: Tesla, Airbus and LVMH

In this article, we will focus on the stock market performance of Tesla, Airbus, and LVMH shares.

Analysis of Tesla, Airbus and LVMH stocks

We often analyze the performance of stock markets using indices that collect the prices of many assets, even different ones from each other. 

But within those indices there may be individual stocks that perform completely differently. 

For example, Tesla’s stock price performance often differs from that of the Nasdaq 100 index in which they are included. So too does the price performance of Airbus and LVMH shares differ from that of the Euronext index in which they are included. 

It is therefore worth analyzing the performance of individual stocks to understand how much difference there may be between one stock and another. 

Tesla stock, outperforming Airbus and LVMH?

Yesterday, Tesla’s share price on the Nasdaq rose 4.8% in a single day. 

In some ways this is a significant anomaly, but in reality that movement falls fully within the band of fluctuation of the past four months or so. 

It all began exactly on 26 January 2023, when Tesla‘s stock price made a remarkable daily leap from $144 at the previous day’s close to over $160. 

On the wave of this leap, the price also rose above $180 the next day, and within a couple of weeks it set a new annual high for 2023 at $217. 

But that level during the rest of the year was never reached again. 

In fact, after the mighty climb in late January and early February, the price then went back down, so that up until 19 April, it had lateralized within a relatively wide price range of $164 to $210. 

The problem is that as of 20 April the price was back below $164, so much so that it even fell to $152 toward the end of the month. 

It is worth noting that the $152 at the end of April is not that much of a lower level than the $164 that had acted as support for the previous two months, and in any case it was still significantly higher than the $144 of 25 January. 

Thus, from 20 April, a lateralization phase has continued, only on a price level slightly lower than that of the phase just before. 

Yesterday, however, this lateralization phase in theory could have ended. 

The conditional should be used because the price actually rose to almost $190, which is a level well above the high of the last lateralization phase, but perfectly in line instead with the previous lateralization phase, i.e., that of February and March. 

Now it will have to be seen whether yesterday’s jump will merely bring the lateralization back to a slightly higher range, or whether it actually constitutes the end of the lateralization phase that has lasted almost four months now. 

What is certain is that the lows of last year’s bear-market ($101) now seem distant. 

Airbus stock

A completely different story has to be told about the price performance of Airbus shares on the Euronext Paris Stock Exchange. 

In fact, the ascent that began in January seems to be still ongoing. 

So far in 2023 there have been as many as four Airbus stock price rises. 

The first one lasted only until 25 January, and took the price from €112 to €122. But in the first part of February this gain was completely lost. 

The most significant rise was the second, the one in mid-February. 

In fact, not only did the price jump from €112 to €126 in just ten days, recovering all the losses of the first week of the month, but it also set new annual highs. Moreover, it has still never since fallen below 115€, except for a very brief moment. 

This rise was followed by two more rises after a brief descent. 

The first occurred in April, bringing the price close to €130 on the 20th of the month, and the second occurred in mid-May, setting a new annual high on the 18th of the month above €131. 

As can be understood, these are not particularly large movements in percentage terms, but significant because all four of the 2023 rises set new annual highs.

It is worth noting that right now the price has fallen below €130, and perhaps again we are in a moment of slight post-rise retracement. 

Perhaps most important is that last year’s bear-market low (€89) seems very far away indeed. 

Interestingly, during the 2020/2021 bullrun, the Airbus share price failed to recover all that it had lost in March 2020, when global financial markets collapsed due to the onset of the pandemic. 

In fact, the all-time high of January 2020 (€139) still holds, but the current level is very close to that high. 

LVMH stock

But the real queen of the stock exchanges right now is LVMH. 

Taking the trend of its share price on the Euronext Paris Stock Exchange as a reference, we find that it is very close to all-time highs. 

In fact, it actually set an all-time high a few weeks ago, namely on 24 April, when it exceeded €904. The previous day it had exceeded €900 for the first time in its entire history, and only on 12 May did it do it again. 

However, the current price of €871 is not far off, and suggests that a real retracement following the historical record has not yet begun. 

It is enough to think that at the beginning of the year the price was below €690, and a year ago it was below €570. Practically in twelve months it has gained 54% so far, with an abnormal rise in the middle of the bear-market, to say the least. 

What is even more impressive, however, is the comparison with March 2020, which is when the global financial markets collapsed. 

In January of that year the price was €420, but in mid-March it collapsed below €280. From that low to the present, the gain has been 210%, in part made right during the bear-market. 

In fact the peak during the 2021 bull run was reached at €758, but only for a very brief moment. So from the peak of the bull run to the peak of the bear-market it gained another +14%. 

However, it is worth adding that since 13 April, it has been de facto lateralizing within a range of €865 to €900 now, and the current price of €870 is not much higher than the minimum in this range.