The US stock market has certainly struggled to find momentum stability in the first few months of the year. It may be beginning to change and Wall Street will turn Thursday. Additionally, Tesla (TSLA) could be part of its upcoming execution, with $10 trillion reasons, a hedge fund favorite for 2025.
EV makers have experienced a near-crisis to start 2025. Its sales plummeted amid the ongoing consumer backlash against CEO Elon Musk’s political affiliation with the current administration. But that may lie behind the company. Because the path forward seems like it could be huge for stocks.
Tesla snatched it into a hedge fund in 2025, and for one obvious reason
Thursday turned out to be a major day for the US stock market. The US and the UK have reached new trade agreements that have the Dow Jones Index jump by 500 points. Furthermore, the epic 7 increased, with Tesla jumping about 4% by noon.
This has been aimed to be a continuing trend for automakers over the past few weeks. Certainly, despite the early struggles, Tesla is looking at one huge reason for the $10 trillion hedge fund favorite in 2025. What’s more, it’s why you shouldn’t see buying it right away.
According to a recent report, there are 126 hedge fund holders of EV stocks. What is the biggest reason? Tesla is a pressing transition from making electric vehicles to starting a full-fledged robotics company. Alon predicts Optimus Robots will debut by 2026. More importantly, he says that existence should generate as much as $10 trillion in revenue.
That prediction is certainly optimistic, with little evidence to back it up. There is no verifiable data to show that robots are being purchased in bulk and there is a sustainable market. However, Tesla is still doing its best with Robotaxi’s self-driving vehicle plan. That possibility and the transition since then is why Wall Street is making a big bet on the company despite a declining year.