Tesla (TSLA) stock surged higher Friday, pushing shares to their highest level since February as the EV maker notched a third straight week of gains.
General sentiment on trade drove Friday’s gains, with President Trump floating a cut to US tariffs on Chinese imports ahead of this weekend’s negotiations. The upbeat news on China trade policy comes after the White House struck a trade deal with the UK.
Tesla shares closed up 4.7%, with shares up around 4% for the week. Tesla stock is up nearly 15% in the past three weeks, boosted by an earnings update highlighted by CEO Elon Musk signaling he planned to spend more time at the company as he transitions away from the Trump administration.
The news this week for Tesla was not all positive, however, as continued sales weakness plagued the Europe region.
On Tuesday, the latest data from the UK found that Tesla registrations (a proxy for sales) hit only 512 new vehicles in April, per the Society of Motor Manufacturers and Traders auto trade group. That figure is down 62% from a year earlier.
Read more about Tesla’s stock moves and today’s market action
Tesla’s UK underperformance follows weakness in other key regions. Germany’s KBA trade group reported registrations in that country dipped 46% to 885. Germany is home to Tesla’s only European factory.
Tesla registrations also fell in key territories like France (down 59%), Denmark (down 67%), and Sweden (down 81%), per Bloomberg data polling national auto associations. The drops in April mirror tumbling European sales in March as well.
First quarter sales also slid more than analysts expected.
Even in Tesla’s home market of the US, the company has had to pull additional levers to boost sales.
The automaker added a new rear-drive version of the newly refreshed Model Y SUV in the US, with a starting price of $46,630 before incentives.
The move came as the company added cheap financing to the new Model Y, aiming to boost sales in the second quarter. Meanwhile, EV blog CarScoops noted that Tesla Model Y Launch Editions are piling up at Tesla showrooms, meaning demand is a problem for the $59,900 vehicle.
But with Tesla, fundamentals often do not drive stock performance. The big bets on Tesla now are based on market sentiment, trade, Musk’s return from the White House, and Tesla’s big bet on robotaxis.
Just don’t ask whether only Tesla can use the term “robotaxi” — the company lost its bid on Thursday for exclusive use of the term in a ruling by the US Patent and Trademark Office.
Pras Subramanian is a reporter for Yahoo Finance. You can follow him on X and on Instagram.
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