Tesla fans and retail investors haven’t wavered in their support of the company’s stock, even as the automaker rounds out what is set to be the stock’s worst year on record.
Retail traders remain strong buyers of Tesla’s stock throughout this month, according to data from Vanda Research detailed in a report from Bloomberg.
Net purchases of Tesla’s stock have reached record highs for December and the fourth quarter, even as the company sank 70 percent in a seven-day losing streak. The short time period oversaw nearly $720 billion erased from the company’s market capitalization.
@ARKInvest buys TSLA shares this week:
Wednesday: 74,862 shares
Thursday: 6,462 shares
Friday: 31,018 sharesTotal: 112,342 shares@CathieDWood @elonmusk
— TeslaNorth.com (@RealTeslaNorth) December 17, 2022
Rising interest rates and continued concerns over demand erosion have remained central to Tesla’s struggling stocks, though many retail investors and diehard fans of the company have taken the low trading prices as an opportunity, rather than as a barrier.
“Retail investors have bought more Tesla stock over the last 6 months than they have done overall in the 60 months prior to this,” Vanda senior strategist Viraj Patel said. “For institutional investors, it’s a seller’s paradise when you have a buyer that is clearly not reading the fundamental signals.”
A report on Wednesday showed that South Korean day traders alone had purchased $2.8 billion in Tesla shares in 2022, giving the country’s investors one of the company’s largest stakes.
Shares of Tesla are trading up 3.72% for the day, at $113.19 USD per share.
