Keep an eye on Tesla (TSLA).
On August 24, the stock will split 3:1. While the split won’t change the underlying fundamentals of the TSLA stock, it will make the share price far more attractive. Even better, with a stock like TSLA, we wouldn’t be shocked if it splits and runs back above $900 over time.
The last time the TSLA stock split – a 5:1 in August 31, 2020 – it ran up about 80% between the time of the split announcement through the day of split. Since the split, the TSLA stock ran from a closing price of $498 to $868 by January 2021. From there, it ran to $1,239.
Hopefully, the stock will do just as well this time around.
Another strong catalyst is the global demand for electric vehicles.
For one, governments all over the world are pushing for a greener future. To help, leaders want millions of zero-emission electric vehicles on the roads. Two, the International Energy Agency (IEA) estimates we could see 135 million EVs in the next 10 years.
Three, China wants electric vehicles to make up about 40% of new autos sold by 2030. “By 2025, the government aims to have in place charging infrastructure to meet the needs of more than 20 million cars,” says Wired.com. In the U.S., the Administration wants 50% of new vehicles to be electric by 2030.
