The biggest question for the company in the coming years is what we’ll see from competitors. Some top EV lists top 12 blockchain payment gateway solutions show that Tesla models rank no higher than fourth or fifth place. But loyalty remains strong, and the Supercharger network is an advantage for Tesla vehicles. How well the company fends off competition will go a long way in determining how its stock performs.

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While there have been hybrid vehicles and other attempts at electric vehicles, Tesla disrupted the industry with its all-electric vehicles that were sleek and powerful. And by using a direct sales model rather than dealerships, it appealed to buyers looking for an alternative to the traditional sales model. Tesla made its first full-year profit in 2020, which helped its stock price.

year income & revenue

And because the company relies on global suppliers of many of the components needed to build its vehicles and energy systems, it can be derailed by supply chain issues and shortages. Interest in Tesla’s vehicles remains strong, and one factor affecting the demand is the federal tax credits available. The government introduced tax credits for new clean vehicles purchased in 2023 or after, providing buyers with a tax credit worth up to $7,500. Tesla is a household name, even among those who don’t typically follow the automotive or technology industries.

Factors That May Impact The Stock Market In 2025

1. This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system.
2. Nvidia’s graphics processing units are a preferred resource for machine learning workloads.
3. That “Miracle on the Hudson” coverage won many breaking news awards.
4. Companies with significant exposure to China may experience volatility as the stimulus plans take shape.
5. SpaceX isn’t publicly listed, but its shares are traded on private markets.
6. Richard McWhorter, managing partner of SRM Private Wealth, predicts a range of -5% to 5%, for example.

Select to analyze similar companies using key performance metrics; select up to 4 stocks. Please bear with us as we address this and restore your personalized lists. CNBC’s Jim Cramer made the case for owning Tesla stock, saying it’s worthwhile not because President-elect Donald Trump reportedly wants to relax U.S. self-driving rules, but because of CEO Elon Musk …

Discover 20 high-yield dividend stocks paying an unsustainably large percentage of their earnings. Enter your email to get this report and avoid a high-yield dividend trap. While Tesla currently has a “Hold” rating among analysts, top-rated analysts believe these five stocks are better buys. Lingering inflation and disappointing corporate earnings are the biggest risks the stock market will face in 2025. Michael Ashley Schulman, partner and chief investment officer for Running Point Capital Advisors, holds a midrange view. Schulman believes the S&P 500 will grow 7% to 11% next year, with volatility along the way.

“Companies’ earnings will need to continue to grow to justify such valuations,” Zacks explains. If earnings come in weaker than expected—for any reason—2025 could be a rough year. Three sectors to watch next year are technology, healthcare and energy.

For added context, see this list of the best investing sectors for 2024. Our experts picked 7 Zacks Rank #1 Strong Buy stocks with the best chance to skyrocket within the next days. For the past seven years, Kat has been helping people make the best financial decisions for their unique situations, whether they’re looking for the right insurance policies or trying making sense of bitcoin and blockchain 2020 to pay down debt. Kat has expertise in insurance and student loans, and she holds certifications in student loan and financial education counseling.

Quantum Computing: The Key to Unlocking AI’s Full Potential?

If it’s not and rates remain higher as a new normal, profit margins could suffer. No investment decision can be efficient without considering a stock’s valuation. Whether a stock’s current price rightly reflects the intrinsic value of the underlying business and the company’s growth prospects is an essential determinant of its future price performance. The consensus earnings estimate of $2.47 for the current fiscal year indicates a year-over-year change of -20.8%. Tesla is expected to post earnings of $0.77 per share for the current quarter, representing a year-over-year change of +8.5%. Over the last 30 days, the Zacks Consensus Estimate has changed +18.9%.

One uncertainty is whether AI can deliver on its promises of efficiency and productivity. Billions are being spent on AI development and the Trading inside bars return expectations are high. Many experts believe AI will prove itself, fueling higher earnings expectations and, in turn, higher stock prices. Pundits are largely optimistic about the U.S. financial markets in 2025, but with a good dose of caution. Global financial markets are more intertwined today than ever, which makes U.S. stocks more sensitive to a broader range of factors. Five factors to watch in 2025 are the outcome of the 2024 presidential election, domestic inflation and interest rates, technology innovation, global economic trends and rising geopolitical tensions.

In reality, there are real risks and uncertainties in play for 2025. While many analysts expect the year to be positive for stocks, several factors could introduce volatility along the way. Prepare yourself for what may lie ahead with this expert-informed overview of risks, sectors to watch and S&P 500 predictions for next year. You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.