The Political Catalyst
Musk publicly challenged Trump, claiming credit for his past presidency. Trump fired back, threatening to cut Tesla'ss subsidies. This political feud may sound like tabloid fodder — but it does have real implications for Tesla's regulatory and fiscal tailwinds.
📍 Step 2: Does Tesla Really Depend on Subsidies Now?
Not as much as before. Tesla's margins are down, but it's no longer a subsidy-reliant startup. IRA credits help EV buyers — but Tesla has global scale, energy storage, and autonomy bets that go beyond US incentives.
📍 Step 3: Price Action Insight
TSLA dipped to ~$285 but rebounded strongly to ~$294. This suggests the market doesn’t view the Musk–Trump spat as fundamentally damaging — yet. However, if political pressure escalates near election season, headlines could trigger short-term volatility.
📍 Step 4: My Strategy
I view this as noise-driven weakness — not a reason to exit. If it dips back toward $270–280, II'll add. Tesla's real 2H catalysts are:
- June 12 Robotaxi launch
- Energy and AI division updates
- Global margin recovery signs
🎯 My short-term trading range: $275–325
🎯 My long-term price target (12–18 months): $360–400, assuming FSD and energy scale-ups continue
📌 Bottom line: The Musk–Trump drama may sell headlines, but fundamentals still drive the stock. Use the dip wisely.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
- andy66·2025-06-06As long as Tesla's stock price drops enough, when you buy in, there will be a group of individual investors, including institutions, to help lift the price.LikeReport
- Venus Reade·2025-06-06it won't gap up. even if it's going to open higher it will pull back to cover the gap before going up again. otherwise it's risky.LikeReport
- Valerie Archibald·2025-06-06this will run up to $322 before hitting resistance … bull trade in playLikeReport
- LeoIII.·2025-06-06Great insights! Love your perspective on Tesla! 🚀LikeReport