Tesla Stock Drops, and Recovers Right Away?

This past week saw Tesla (NASDAQ:TSLA) going downside. One that was still going earlier today, reaching the likes of a 5% decrease in total.

However, the company saw itself increasing yet again on the same day, leading to a decrease of just 0.4%. Not ideal, but definitely better than a 5% one. This was surprising, to say the least. 

So, what happened?

Analysts Take Down Tesla, Then Tesla Takes Them Down

Last week, several analysts spoke on behalf of Tesla stock. Overall, their comments said that 2022 would be a neutral year for Tesla. Nothing wrong enough to merit cutting losses, but neither is something good enough to warrant buying it.

Regardless of the nature of these comments, many investors managed to get disappointed in them, and they still decided to let go of their stock in little to no time.

However, it took the same amount of time for Tesla to change things. By now, it has launched its newest Model Y. A model that has been entirely produced in the company’s Austin, Texas factory.

When looking over this, various analysts took back their initial words. Tesla is now expected to double its capacity to over 2 million vehicles per year. In other words, they now believe that Tesla is set for an excellent 2022. 

Of course, these results are yet to be seen in practice. But one can argue that Tesla’s prospects are solid enough to guarantee a safe bet.