Almost one week into February, Tesla (NASDAQ:TSLA) stock is enjoying a smoother ride. This comes in spite of several negative catalysts, such as multiple vehicle recalls. Why? It seems that investors are finally starting to see that Tesla’s dominance is still on track. And an under-the-radar report spells a big positive for TSLA stock.
What’s Happening With TSLA Stock
As noted, this has been an excellent week for TSLA. Shares closed out the week higher by 9%, helping trim year-to-date losses.
What’s clear from this performance is that TSLA stock can hold its own against negative market forces.
Why It Matters
Tesla is a global leader in electric vehicles.
There’s reason to believe that even more of Tesla’s operations deserve greater attention. As EVANNEX wrote for InsideEvs, Tesla has already demonstrated its efficiency in manufacturing. Electric vehicle investors would be wise to remember that. The author sites custom build factories in Texas and Germany that feature efficiency-focused production lines.
This is an interesting topic, and one that warrants some discussion. While Tesla’s Q4 production figures haven’t been ignored, they didn’t completely reassure investors. Supply chain constraints are going to factor into EV production, but Tesla will still come out on top.
What It Means for Tesla
This logic should reassure investors that the road ahead will be smooth for TSLA stock. Everyone should remember that Tesla’s large size and commercial progress still give it a leg up.
On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.