Tesla Set To Breach $200 Mark As Stock Rises Premarket: What's Powering The Rally

Shares of Tesla, Inc. TSLA rose sharply in premarket trading on Monday and the upward move comes just ahead of the release of the company’s second-quarter deliveries report.

The optimism is premised on faint hopes that Tesla can beat the lowered bar after analysts scrambled to take down their respective estimates in recent weeks. Also, the latest weekly China insurance registration data showed that Tesla’s China sales may have rebounded. Wedbush analyst Daniel Ives said Tesla may have witnessed a mini-rebound in sales in the Asian nation.

Also, the buoyant sentiment was driven by strong June sales reported by domestic EV startups Nio, Inc. NIO, XPeng, Inc. XPEV, and Li Auto, Inc. LI.

In premarket trading, the stock rose 1.88% to $201.60, according to Benzinga Pro data. If the premarket gains hold good, the stock could open at the $200+ level for the first time since March 1. The stock did break above $200 intraday on Friday before settling below the level.

See Also: Tesla Rises Ahead Of Crucial Q2 Deliveries, Rivian Affirms Goal After Volkswagen Deal, Nikola Ropes In Key Customer And More: Biggest EV Stories Of The Week

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