Tesla Shares Surge as Trump Claims Victory in US Election

Tesla shares soared over 12% in overnight trading on Robinhood, boosted by the victory of Donald Trump in the US presidential election.

What Happened: As per reports from The New York Times, Trump appears to have a 95% probability of winning, with 267 of the required 270 electoral votes secured.

Tesla CEO Elon Musk, who endorsed Trump earlier this year, has played a prominent role in Trump’s campaign, advocating online and rallying in key swing states like Pennsylvania.

Musk also launched America PAC, a super PAC supporting Trump, contributing over $100 million, further establishing Musk’s influence in this election.

Trump has indicated that Musk would play a central role in his administration if elected, proposing a government efficiency commission led by Musk.

This commission would audit federal finances and operations to identify and recommend reforms.

According to Wedbush analyst Dan Ives, Tesla stands to benefit from a Trump administration. While a Trump win could challenge the broader EV industry by reducing tax incentives, Tesla’s scale and pricing advantages could see a substantial lift.

Ives projected this could boost Tesla's stock by $40-$50. Additionally, a Trump-led government could accelerate Musk’s ambition for autonomous driving via Tesla’s full self-driving technology.

Price Action: Tesla stock saw a 10.5% rise on Robinhood overnight. Year-to-date, Tesla shares have increased by 1.2%, closing Tuesday at $251.44 with a 3.5% gain according to Benzinga Pro data.