Tesla stock reaches an all-time high after impressive results

Investors renewed their Tesla share run on Thursday after Elon Musk, the maker of auto Electric, posted profits for the ninth consecutive quarter, pushing its shares to new levels.

The four-month upward trajectory received a new impetus, after the company announced that gross profit margins, a key measure of its profitability, rose nearly 30% in the last quarter. This led to Tesla’s shares in 3.9% rise to $ 899.50 in New York, before closing at a record of $ 894.

Investors had already started looking for Tesla stock before the results were announced, after the company announced massive third-quarter shipments earlier this month. His performance during the quarter it largely impressed Wall Street analysts, although some questioned whether the rally left the shares overvalued.

Profitability was bolstered by Tesla’s skillful handling of the semiconductor shortage crisis, which paralyzed many other automakers. However, these margins may not be sustainable, according to some analysts.

“When it comes to margins, the third quarter is likely to be a bullish sign, at least for the next few quarters,” wrote Alexander Potter of Piper Sandler.

He said commodity inflation and the opening of new factories will inevitably affect. It has the highest price target for Tesla among analysts monitored by Bloomberg, at $ 1,200.

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