The ‘Other’ Elon Musk Stock Is Still Worth a Look
To say that considerable hoopla surrounded the SpaceX IPO last Friday is a major understatement. The newly public rockets and satellites company reportedly minted hundreds of millionaires among its staffers while vaulting CEO Elon Musk into the $1 trillion personal wealth club where he resides alone.
Interesting factoids to be sure, but they don’t imply that investors should ignore Musk’s other company. Of course, that’s Tesla, Inc. (TSLA). While SpaceX is garnering all the hype, some experts believe there are ample catalysts for Tesla and that could bode well for traders looking to make use of the Direxion Daily TSLA Bull 2X Shares (TSLL A-).
See more: Put the Tesla Pedal to the Metal With These ETFs
The leveraged ETF attempts to deliver 200% of the daily performance of Tesla shares. Like other geared ETFs, TSLL is prone to event-driven movements and Tesla is a prime example of a company that can deliver the headlines that make leveraged ETFs useful. Those can include the company’s robotaxi efforts.
“In the robotaxi business, Tesla can offer a driverless ride-hailing service. This can allow Tesla to offer a price that is just 50% to 75% per trip of the price of a traditional human-driven ride-hailing service,” noted Morningstar’s Seth Goldstein. “We expect the absence of a human driver to make Tesla and its autonomous peers, such as Waymo, able to run their ride-hailing businesses at a lower cost versus peers.”
Source: https://etfdb.com/leveraged-inverse-content-hub/still-worth-looking-at-the-other-elon-musk-stock/
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