Tesla’s share price reached its highest level in 52 weeks today, Wednesday, and it is on its way to reach its highest price ever.
Shortly after the market opened today, Wednesday, Tesla shares rose nearly 2.4% to $388.15 per share, surpassing its intraday highs when CEO Elon Musk sent his famous tweet “funding securred” in August 2018.
On Wednesday, the stock rebounded slightly below the intraday high of $ 389.61 before retreating slightly. Tesla shares have risen about 60% this quarter after the company announced surprising earnings in the third quarter.
The stock is on the right track to head to its best quarter since the third quarter of 2013.
Tesla’s new Gigafactory in Shanghai is the first of the company outside the United States and is slowly increasing production in China, but analysts do not expect to see mass production until next year. Musk praised the Chinese factory and market as a key to the company’s future as demand for Tesla vehicles increased in China. The US-China trade deal announced last week could benefit Tesla’s profitable market operations.
The company was expected to cut labor costs and increase profit margins at the facility, but Bloomberg reported on Wednesday that the company was considering reducing the price of Chinese Model 3 sedans by 20% or more. However, progress at the factory was a hopeful sign for a company that has historically been far from expected to start production.
Musk told investors in the third-quarter earnings call in October that the company was ahead of schedule for its SUV crossover, Model Y. The vehicle could be launched as early as the first quarter of 2020.