01.16.24
TSLA had a disaster in the second half of 2022, mostly due to Musk purchasing Tweeter and selling shares to fund it.
Stock dropped pretty much 75% from $410 to $102.
2023 was a huge recovery but "only" managed to recover nearly 150% to around $250, but is down this morning to $214.
Since the recovery started in Jan 2023, Tesla quickly reached $200, dropped to $150 in April 2023, peaked near $300 and dropped to $197 in October.
2022, although it was the worst year for TSLA stock ever (all markets declined too, mostly the nasdaq), it was the best in terms of profits and financial records.
In 2023 they had a fairly good growth in production from 1.31m to 1.81m.
The financial margins dropped by design mostly, since Tesla led the industry with aggressive price drops, which all are following unwillingly.
The major markets fully recovered, NASDAQ is still not there yet.
2024, who knows, right?
But most predictions are for Fed interest drops and Inflation stabilizing.
Although the stock market recovered in 2023. Interest rate drops and stable inflation could signal a positive market, especially the hype and volatile sector.
2024 should allow TSLA to enjoy better margins and continued growth, especially since the western Competition eased off from BEV efforts at this time and Chinese are not yet around.
Recently, June 2026 Option calls were introduced, 880 days out.
A June 2026 TSLA call, $450 strike is $23.10 today.
Of course, this is not a recommendation for anyone who does not understand the risks.
My Strategy about TSLA is to keep owning 2+ years out Option calls 2-2.5 times out of the money.
Expiration in 2020 till mid-2022 calls purchased in 2019-2020 were a very good bet.
Expiration in 2023-2024 if bought in 2021- till mid 2022 was a very bad bet.
Expiration in 2024 if bought in 2023 - would probably end up pretty good.
Expiration in 2025-2026 purchased since Jan 2023...
I will patiently wait and find out.
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