Tesla Inc shares are trading higher, driven by several key developments. Here’s a closer look at the biggest news driving investor attention.
- Tesla stock is trading near recent highs, sparking interest in its future performance.
Lemonade Cuts Insurance Rates for Tesla FSD Miles
Lemonade has launched a new insurance product specifically designed for self-driving vehicles, starting with Tesla’s Full Self-Driving (FSD) system. This innovative product reduces per-mile costs for FSD-engaged driving by approximately 50%, reflecting lower risk when the vehicle operates autonomously. As Tesla continues to improve its FSD software, rates may decrease further.
The launch is the result of a technical collaboration between Lemonade and Tesla, providing Lemonade with access to vehicle-level data that was previously unavailable.
Traditional insurers treat a Tesla like any other car, and AI like any other driver. But a car that sees 360 degrees, never gets drowsy, and reacts in milliseconds can’t be compared to a human.
- Shai Wininger, Lemonade’s co-founder and president
Tesla Denies Workforce Reduction Reports
Tesla has pushed back against reports of significant staffing reductions at its Berlin gigafactory. The company stated that there has been no notable decline in permanent employees and no plans for job cuts.
The situation and outlook at the gigafactory are stable, especially regarding employee jobs.
Potential SpaceX IPO Nears
SpaceX is considering an initial public offering, partly tied to Elon Musk’s ambitions to build AI-focused data centers in space. This move could raise billions for the effort and help Musk’s AI venture, xAI, compete with rivals like OpenAI and Anthropic.
While SpaceX and Tesla operate independently, the possibility of a SpaceX IPO has stirred interest among Tesla investors. The overlap between Musk’s companies and broader enthusiasm around his ventures may be adding to the positive sentiment in Tesla shares.
A Closer Look at TSLA Stock
TSLA stock is currently trading:
- 6% below its 20-day simple moving average (SMA)
- 1.1% below its 100-day SMA, indicating short-term weakness
- Close to its 52-week highs, reflecting a longer-term bullish trend
The Relative Strength Index (RSI) is at 36.19, considered neutral territory, suggesting that the stock is neither overbought nor oversold. The Moving Average Convergence Divergence (MACD) is below its signal line, indicating bearish pressure.
Key levels to watch:
- Key Resistance: $499.00
- Key Support: $424.50
TSLA price action: Tesla shares were up 1.54% at $425.74, driven by mixed momentum and a neutral RSI. While the stock has some support, it may face challenges in gaining further traction.