In the second half of 2018, I became a shareholder of Tesla stock, and I have to say, the last few months of the ongoing pandemic period have raised several questions concerning buying, selling and holding Tesla stocks. I am particularly interested in this as Trump has been re-elected and the price of Tesla stocks skyrocketed during his tenure.
Once I found out about Elon Musk’s strict support of Trump during the presidential campaign, it became obvious to me that Tesla would benefit from the policies implemented by the Trump administration. Presently, the stock is sitting around $300, and it appears that this is a decent moment to hold on to Tesla stock moving forward.
With Tesla also involved in progress work concerning robotics and new car models, coupled with strengthening battery tech, AI, as well as possible lower taxes and reduced regulations, there is a strong potential for growth for the stock of Tesla. For the reasons mentioned above, it does seem to be an attractive time period for investing in Tesla.
As for me, beyond holding on to Tesla stocks, I started to commercially invest in Private AI technologies like OpenAI, Anthropic, and Databricks by means of an open ended venture fund. I hold the view that there is still a long way to go before AI peaks. If anything, I feel there is room for growth.
If you are looking for exposure to AI, you may want to consider Fundrise’s venture capital product that focuses on rapidly growing AI companies. So far, I have invested 143000 into Fundrise and intend to increase my stake as the minimum investment is just $10.
My Tesla Stock History
I made the first purchase of Tesla stock in 2018 after I met Elon Musk at an Expo in Texas. At that time, there was a lot of media noise about him being unstable but I decided to see for myself.
My meeting with Elon Musk simply confirmed my suspicion that he was more of the “stable genius” type than the media made him out to be . In total, I bought about 300 shares between the prices ranging from $280-290 and went up to $310.
The stock started off on a good note but fell in 2019. Once the price reached $400-420 again, I decided to sell my Tesla stocks and make a profit of about 30 percent on it. Back then, since I had being down about 30 percent at one point, I was fairly confident in my decision. However, looking back now, perhaps selling my Tesla stocks was a mistake.
What Should I Do With My Tesla Stock In 2025+?
If you have Tesla stock that you bought prior to its remarkable surge which took place in 2020, you’re probably wondering whether you should now buy Tesla stock, sell it off and take profits or simply retain the stock.
Don’t allow any single stock position to account for more than 20 percent of your portfolio, this is the nugget of wisdom I don’t know how to write in a simpler way.
If you have to carry Tesla stock more than 20 percent of your portfolio, then the best recommendation that I can give is to offload some of your Tesla shares to take your exposure back to 20 percent.
On the other hand, if it is less than 20%, then for the time being you can retain it. It may be an interesting ride, but at least here are few reasons why I say this:
Tesla Stock Scenario Analysis
Over the next 10 years, Tesla stock could appreciate due to reasons such as Tesla’s dominance in electric vehicles, improved production efficiencies, creation of an autonomous mass transport system, and diversification into the energy business.
If Tesla is able to accomplish these objectives, the share price of Tesla stock can propel to the top and reach greater heights and include Elon musk among trillionaires alongside Microsoft, Amazon or Apple. So, investing in Tesla right now can turn out to be a smart move.
Tesla Valuation and Potential
To begin with, its quite clear that Tesla stock is trading at a noticeable premium at present. If at all Tesla makes Abbott and Costello mistakes then this share price is only as strong as my grandma’s chicken soup, so, if that takes a hit – it will drop dramatically.
Not withstanding all this, backward looking based models like those of ARK Investment even in the worst case scenarios allow for at least a modest expectation that these prices will be at least double going forward from here.
If you’re not a Tesla stockholder yet, I think you should consider picking at least one share during a market correction. It would be a great opportunity to buy this ‘demanding stock.’ The company’s performance exceeded our expectations when it comes to their sales, and deliveries when selling and the new products set to release during the year like Cybertruck Global and Roadster seem promising as well.
Investing in any stock is always an intelligent choice, especially stocks backed up by entrepreneurs such as Elon Musk, which makes it easier to invest. Tesla greatly benefited from it when Musk started to make a targeting market attempt during his vision.
I am in wait of a recession and am hoping for it so I can invest in buying more Tesla stocks. If the downturn does not occur then I will stay satisfied by the 150 shares I own. In the future, I’ll be able to see what else Elon Musk has in stores for the company.
Branch Out Your Portfolio and Invest in Singletary Properties
Although a Tesla stock holder has quite a flair for panic selling, singular properties seem to be a rather convincing investment. Great growth in the future will quite surely require lesser investments. Investing in pieces of singular property is definitely funds generating, and a great way to provide me with assets in the future.
By the time I turned 28, I had already purchased two properties in North Carolina along with a Tahoe property. The passive income from these properties is significant, and I also started investing in crowdfunding for heartland real estate in 2018 which has been a good move as it has yielded better returns owing to lesser evaluation of properties.
Faq
What is the current outlook for Tesla stock in 2024?
Tesla stock has experienced significant growth, and its outlook for 2024 appears strong. The company continues to innovate in areas like electric vehicles, autonomous driving, robotics, and AI. A favorable political environment, potential lower taxes, and deregulation under the current administration could further boost its growth. However, as with any investment, the stock remains volatile, and market fluctuations are always a possibility.
Should I buy Tesla stock right now?
If you’re considering buying Tesla stock, it’s important to assess your risk tolerance and investment strategy. Tesla stock is currently priced at a premium, so it may be worth waiting for a correction before making a purchase. However, if you’re comfortable with the volatility and believe in Tesla’s long-term potential, investing in even one share could be a smart move.
Is it a good time to sell Tesla stock?
If Tesla stock makes up more than 20% of your portfolio, it may be wise to sell a portion of your holdings to reduce your exposure. This helps maintain a diversified portfolio. On the other hand, if Tesla is less than 20% of your portfolio, holding onto your shares could be a good idea as the company is still well-positioned for growth in the coming years.
What are the risks of investing in Tesla stock?
The primary risks of investing in Tesla stock include its high valuation, intense competition in the EV market, and regulatory challenges. Additionally, any execution missteps, production delays, or economic downturns could negatively impact the stock price. Tesla’s volatility also means that short-term investors may experience significant price swings.
