Elon Musk Thinks the Cybertruck Will Be Tesla Stock’s New Driver

After weeks of anticipation, Tesla (NASDAQ:TSLA) is finally going to report earnings for Q4 2021 today. Both Wall Street and Main Street investors are anxious to hear what CEO Elon Musk has to say. Tesla stock has seen considerable turbulence this month, and investors have been left with plenty of questions. The electric vehicle (EV) innovator began the year on a high note after reporting record-high delivery expectations. Since then, though, it has failed to maintain any serious market momentum. However, today’s call promises to address several key issues, among them the long-awaited Cybertruck.

Tesla (TSLA) badge on steering wheel of car
Source: Christopher Lyzcen / Shutterstock.com

What’s Happening With Tesla Stock

Anticipation is high today as investors wait for the earnings call. It helps that Tesla stock is back in the green after a difficult start to the week. Its recent slump, though, can be attributed more to negative overarching market trends than anything Tesla-specific. Today, these trends have reversed. Fellow EV stocks such as Rivian (NASDAQ:RIVN) and Canoo (NASDAQ:GOEV) are also rising today after slumping earlier this week.

Tesla stock began today by rising. Despite a slight downtick, it is currently up more than 3% so far. It remains in the red by 6% for the week and 13% for the month. Additionally, investors are optimistic that today’s earnings call will be a positive catalyst. At the very least, it will bring news of what could prove a powerful driver for Tesla stock in the year ahead.

Why It Matters

Yesterday evening, Musk tweeted something that set social media wires buzzing.

For the EV aficionados who had been waiting for news of a new Tesla vehicle, this was a welcome update. Earlier this month, the pushing back of the Cybertruck launch date sparked concern. Investors have been awaiting the updated product roadmap promised by Musk. Now, the Cybertruck tweet has given them a good look at what will likely be its focus.

While the truck’s launch has been pushed back, that shouldn’t be seen as a reason to doubt the company. Musk is no stranger to missing deadlines. Through it all, Tesla stock has found a way to rally. Business Insider reports that “changes are being made to the Cybertruck’s features and functions.” If this is true, the company will provide a better vehicle when the Cybertruck is released.

While investors are also expecting news of the Tesla Model Y, it’s hard to focus on that when the Cybertruck is also on the table. This is exactly the type of buzz that can help drive a stock up. Investors can’t help but be fascinated by the impending launch of such a vehicle. In an earlier tweet, Musk stated that it would include four motors and “independent, ultra fast response torque control of each wheel.” Now, the world wants to find out exactly how true that is. You don’t have to own Tesla stock to be curious about what’s coming.

What It Means for Tesla Stock

It’s unclear how well the Cybertruck will sell when it is released. The vehicle’s futuristic appearance has drawn criticism and mockery. What we do know is that the type of momentum it has driven will help boost Tesla stock in the short term. Musk planned this type of rollout strategically to coincide with the earnings call.

As we get ready for the call today, everyone should be watching closely. There will be plenty of other key updates for investors to watch for, but the Cybertruck will be the headline of every news site in the country, helping drive Tesla stock before it touches a public road.

On the date of publication, Samuel O’Brient did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the 
InvestorPlace.com Publishing Guidelines.

Article printed from InvestorPlace Media, https://investorplace.com/2022/01/elon-musk-thinks-the-cybertruck-will-be-tesla-stock-new-driver/.

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