Fundstrat‘s Tom Lee stated that Tesla Inc.‘s TSLA success is not due to government subsidies, but rather a combination of factors including engineering talent, manufacturing expertise and leadership.
What Happened: On Tuesday, Lee took to X to express his views on Tesla’s success. He stated, “Magical alchemy of $TSLA not ‘govt subsidies' – engineering talent – manufacturing expertise – leading AI and software – leadership – massive dataset – future products.
“Government not on list $TSLA is a granny shot,” stated Lee.
"Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa," posted Trump.
Lee’s post suggests that he believes Tesla’s success is primarily due to its internal strengths and not external support.
Why It Matters: Lee’s post comes at a time when Tesla’s future is a topic of intense speculation. His comments echo those of other industry experts, who have also highlighted the company’s unique position in the market.
Wedbush analyst Dan Ives recently reiterated his bullish stance on Tesla, positioning it as one of the premier investments in the field of physical AI. Ives forecasts a staggering $2 trillion valuation for Tesla, without factoring in the future earnings from its humanoid robot, Optimus. Ives explained Tuesday’s weak performance for Tesla amid a fallout between CEO Elon Musk and Trump. Ives described the situation as a “junior high school friendship gone bad.” However, he added that it would eventually stabilize.
On the other hand, investment advisor Ross Gerber criticized Tesla board members for remaining silent amid the escalating Trump-Musk Feud.
Benzinga's Edge Rankings place Tesla in the 66th percentile for quality and the 91st percentile for growth, reflecting its strong performance in both areas. Check the detailed report here.
On Tuesday, Tesla stock closed 5.34% lower at $300.71.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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