Tesla Stock Races Higher In Premarket: What's Going On?

Tesla, Inc. TSLA appears to be on track to extend its gains on Tuesday, buoyed by positive tidings from China.

Vehicle insurance registration data for Tesla vehicles came in at a robust 16,200 for the week ended Sept. 8, CnEVPost reported, citing data provided by Li Auto, Inc. LI. This compares to the previous week’s number of 14,400 units and marked the strongest increase since the 17,500 units reported for the third week of June.

Commenting on the data, Tesla bull and fund manager Gary Black said the weekly registration data suggest Tesla is on track to record the best quarter ever. With three weeks left in the quarter, the quarter-to-Sept. 8 data show 15% year-over-year and 25% sequential growth.

Tesla’s fundamentals have taken a turn for the worse since 2022 amid slowing demand and heightened competition. The sales recovery came amid the company extending its zero-interest financing until the end of the quarter. The next major catalyst for the company is the quarterly delivery numbers, due early October, followed by the Robotaxi Day on Oct. 10.

In premarket trading, Tesla shares rose 1.28% to $219.04, according to Benzinga Pro data. On Monday, the stock climbed 2.63% to $216.27, which marks a 13% decline for the year.

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